paper, newsprint, and book paper into pulp that can be used to
produce three grades of recycled paper (grades 1, 2, and 3).
data.xlsx”. Two methods, de-inking and asphalt dispersion, can be
used to process the four inputs into pulp. It costs $20 to de-ink a
ton of any input. The process of de-inking removes 10% of the
input’s pulp, leaving 90% of the original pulp. It costs $15 to
apply asphalt dispersion to a ton of material. The asphalt
dispersion process removes 20% of the input’s pulp. Each of the
asphalt dispersion process and the de-inking process has a
processing capacity of 3000 tons. Grade 1 paper can be produced
only with newsprint or book paper pulp; grade 2 paper only with
book paper, tissue paper, or box board pulp; and grade 3 paper only
with newsprint, tissue paper, or box board pulp. To meet its
current demands, the company needs 500 tons of pulp for grade 1
paper, 500 tons of pulp for grade 2 paper, and 600 tons of pulp for
grade 3 paper. 1. Determine how to minimize the cost of meeting the
demands for pulp. 2. Generate a sensitivity analysis report. What
is the allowable range for the capacity of the asphalt dispersion
process such that its shadow price remains unchanged? How do you
interpret this shadow price? Note: Provide your answer in a Text
Box below your Excel model
- Question A Paper Recycling Plant Processes Box Board Tissue Paper Newsprint And Book Paper Into Pulp That Can Be Use 1 (18.77 KiB) Viewed 38 times