Did I do this question correctly? If not please show where I went wrong and how to fix it.
The government is auctioning off oil leases at two sites. At each site, 150,000 acres of land are to be auctioned. Cliff Ewing, Blake Barnes, and Alexis Pickens are bid- ding for the oil. Government rules state that no bidder can receive more than 45% of the land being auctioned. Cliff has bid $2000 per acre for site 1 land and $1000 per acre for site 2 land. Blake has bid $1800 per acre for site 1 land and $1500 per acre for site 2 land. Alexis has bid $1900 per acre for site 1 land and $1300 per acre for site 2 land.
a. Determine how to maximize the government’s revenue with a transportation model.
b. Use SolverTable to see how changes in the government’s rule on 45% of all land being auctioned affect the optimal revenue. Why can the optimal revenue not decrease if this percentage required increases? Why can the optimal revenue not increase if this percentage required decreases?
104 astion for stand/ Mar% 11 Number of acesso de 12 11twing SATS VE Piders Prim A be sold to any bidder PS-43 PS-40 2000 SUMBUS BES PS-45 part PS-42 1000 1300 SUANCES CES Stocks CONS Geography SUMBECER MAC SUORESCE -416-CH Total Sort Fer -05 -105143 +505 Sabing Metho Set Objective 58520 To: O Max Min y Changing Variable Cells 58513-5C515 Reply Advanced Solver Parameters Subject to the Constraints 1851653 SEELESS4 10513 50815-18518 50518 Value of Simples LP Bas- Text to Columns Add Change Reset All Load/Save Op What-f Analysis FO- up- Subtotal
2 F 3 1 Max that can be sold to any bidder Number of acry sold to bidden twing 4Sames Pickens Total E 4 Of lease auction E for sites idollen/acre) twing ames Pickens Revenue mon fx 135000 N Pha Stm 1 $3,000 $1,300 $1,000 PO-46 C 5x2 $1,000 $1,300 $1,300 VODUGOS The She 115000 15000 $150.000 $130.000 PP Allow 0 Total 115000 135000 $100.000 Speily but al (0) PN ww Maxalowed 135000 135000 135000 Parameters for oneway table flowing into the the was b mation Vales of S Op Mam gut a range www purple and textured Ca
B C D 1 Oneway analysis for Solver model in P5-46 worksheet 2 3 Land being auctioned (cell $C$9) values along side, output celalong top 49575 6 9 10 11 12 13 14 15 16 17 18 19 20 21 22 21 24 SE 26 27 28 29 30 31. 32 34 x✓ fx SE 0.3 $315,000,000 0.35 $367,500,000 0.4 $420,000,000 0.45 $472,500,000 0.5 $525,000,000 0.55 $573,000,000 0.6 5621,000,000 0.65 $669,000,000 0.7 $717,000,000 0.75 $765,000,000 0.85813,000,000 0.85 5861,000,000 0.9 $909,000,000 PP-43 HAR F 4 18-09 00000000 00000000 700000000 000000000 500000000 400000000 300000000 2000000000 100000000 Data for chart Landing 315000000 367500000 420000000 472500000 $25000000 573000000 621000000 000000699 717000000 765000000 813000000 1000000 00000060 Sensitivity of $8520 to Land being auctioned crowwe ro oses 4 When you select an output from the dropdown let in cell will adapt to that output www.**.
Did I do this question correctly? If not please show where I went wrong and how to fix it. The government is auctioning
-
- Site Admin
- Posts: 899603
- Joined: Mon Aug 02, 2021 8:13 am