Question-3

A company wants to purchase at most 1800

units of a product. There are two types of
the product M1 and M2 available. M1
occupies 2ft3, costs Rs. 4 and the company
makes the profit of Rs. 3. M2 occupies 3ft3,
costs Rs. 5, and the company makes the
profit of Rs. 4. If the budget is Rs. 5500/=
and warehouse has 3000 ft3for the products.
Requirement
Formulate the problem as linear programming
problem.

Solution
Let
X1 = Product M1
X2 = Product M2

M1 (x1)

Area
Cost
Profit
Additional
Condition

M2 (x2)

Maximum
Availability
3000
5500

2
3
4
5
3
4
Company wants to purchase at most
1800 units of a product.

Formulation of Linear Programming (Cont.)

Step 1
- Key decision to be made
Maximization of Profit
- Identify the decision variables of the problem
Let
X1 = Product M1
X2 = Product M2

Formulation of Linear Programming (Cont.)

Step 2
- Formulate the objective function to be optimized

- For maximization the objective function is based

on profit
- Profit from M1 = 3X1
- Profit from M2 = 4X2
so our objective function will be like this
Maximize Z = 3X1+4X2

Formulation of Linear Programming (Cont.)

Step 3
- Formulate the constraints of the problem
- For area the maximum availability is 3000 ft3, and
area required for M1 (X1) is 2 ft3 where for
product M2 (X2) is 3 ft3. so the constraint become
as under
- 2X1 + 3X2 < 3000
- For cost the maximum availability is Rs. 5500,
Product M (X1) required Rs. 4 per unit and
product M2 (X2) required Rs. 5 per unit so the
constraint become as under
- 4X1 +5 X2 < 5500

Formulation of Linear Programming (Cont.)

Third condition:
Company wants to purchase at most 1800
units of a product
This is the production constraints that the
company must produce at most 1800 of the
product and the product is composed of X1
and X2, so the mixture of these two
X1 + X2 1800

Formulation of Linear Programming (Cont.)

Step 4
- Add non-negativity restrictions or constraints

The decision variables should be non negative,

which can be expressed in mathematical form as
under;
X1, x2 > 0

Formulation of Linear Programming (Cont.)

The whole Linear Programming model is

as under;
Maximize Z = 3X1+4X2 (Objective Function)
Subject to
2X1 + 3X2 < 3000
(Area
Constraint)
4X1 + 5 X2 < 5500
(Cost
Constraint)
X1
+ X2
1800 (Product
Constraint)
X1,X2 > 0 (Non-Negative Constraint)

Question 4 ((Note: pl also see in Hillier Sol.Manual, page 3334(Prob3.1-11))

3.1-11 The Omega Manufacturing Manufacturing Company has
discontinued the production of a certain unprofitable product line. This
act created considerable excess production capacity. Management is
considering devoting this excess capacity to one ore more of three
products; call them products 1, 2, and 3. The available capacity on the
machines that might limit output is summarized in the following table:

Machine Type

Available Time
(Machine Hours per Week)

Milling machine

500

Lathe

350

Grinder

150

The number of machine hours required for each unit of the

respective products is
Productivity coefficient (in machine hours per unit)
Machine Type
Product 1
Product 2 Product 3

Milling machine

Lathe

Grinder

The sales department indicates that the sales potential for products 1
and 2 exceeds the maximum production rate and that the sales
potential for product 3 is 20 units per week. The unit profit would
be 30, 12, and 19, respectively, on products 1, 2, and 3. The
objective is to determine how much of each product Omega should
produce to maximize profit.
(a) Formulate a linear programming model for this problem.
(b) Use a computer to solve this model by the simplex method.

3-1-11
(a) Let
x1 number of units of product 1

x2 number of units of product 2

x3 number of units of product 3
M aximize

Z 30 x1 12 x2 19 x3 ,

subject to 9 x1 3x2 5 x3 500

5 x1 4 x2
3x1

350
2 x3 150
x3 20

x1 0,

x2 0,

x3 0.

(b)

x1* 26.1965
x2 * 54.7619
x3* 20
Z * 2904.7619