Hello! I'm having trouble with this practice question. Any help is greatly appreciated.

Business, Finance, Economics, Accounting, Operations Management, Computer Science, Electrical Engineering, Mechanical Engineering, Civil Engineering, Chemical Engineering, Algebra, Precalculus, Statistics and Probabilty, Advanced Math, Physics, Chemistry, Biology, Nursing, Psychology, Certifications, Tests, Prep, and more.
Post Reply
answerhappygod
Site Admin
Posts: 899603
Joined: Mon Aug 02, 2021 8:13 am

Hello! I'm having trouble with this practice question. Any help is greatly appreciated.

Post by answerhappygod »

Hello! I'm having trouble with this practice question.Any help is greatly appreciated.
Hello I M Having Trouble With This Practice Question Any Help Is Greatly Appreciated 1
Hello I M Having Trouble With This Practice Question Any Help Is Greatly Appreciated 1 (36.25 KiB) Viewed 31 times
Hello I M Having Trouble With This Practice Question Any Help Is Greatly Appreciated 2
Hello I M Having Trouble With This Practice Question Any Help Is Greatly Appreciated 2 (32.48 KiB) Viewed 31 times
Hello I M Having Trouble With This Practice Question Any Help Is Greatly Appreciated 3
Hello I M Having Trouble With This Practice Question Any Help Is Greatly Appreciated 3 (18.89 KiB) Viewed 31 times
Klein Chemicals, Inc., produces a special oil-based material that is currently in short supply. Four of Klein's customers have already placed orders that together exceed the combined capacity of Klein's two plants. Klein's management faces the problem of deciding how many units it should supply to each customer. Because the four customers are in different industries, different prices can be charged because of the various industry pricing structures. However, slightly different production costs at the two plants and varying transportation costs between the plants and customers make a "sell to the highest bidder" strategy unacceptable. After considering price, production costs, and transportation costs, Klein established the following profit per unit for each plant-customer alternative. Plant Clifton Springs Danville Plant Clifton Springs 2 Danville D₁ D₂ Customer $32 $34 $34 $30 The plant capacities and customer orders are as follows. Capacity (units) 5,000 3,000 D3 $32 $40 $28 D4 4 $38 Distributor Orders (units) D₁ D₂ D3 D4 2,000 5,000 3,000 2,000
(a) How many units should each plant produce for each customer to maximize profits? Optimal Solution Clifton Springs-D₁ 0 Clifton Springs-D₂ 4000 Clifton Springs-D3 Clifton Springs-D4 1000 Danville-D₁ Danville-D₂ Danville-D3 Danville-D4 Total Cost 0 2000 0 0 1000 Units (b) Which customer demands will not be met? Distributor 1 will have a shortfall of 2000 Distributor 2 will have a shortfall of 0 Distributor 3 will have a shortfall of Distributor 4 will have a shortfall of $0 $ 136000 $0 $ 40000 $ 68000 $ 0 $0 $ 38000 Cost $ 282000 X units. X units. units. units.
(ii) linear programming formulation Let Xij = number of units i shipped to client j, using the indices from the given table. (It may be necessary to combine plants or distributors in a single node in order to solve this problem. Use index number 5 for this type of node. Enter "DNE" in any unused answer blanks.) Max s.t. Orders from Clifton Springs Orders from Danville Orders from/for Dummy Node Orders for D₁ Orders for D₂ Orders for D3 Orders for D xij≥0 for all i, j.
Join a community of subject matter experts. Register for FREE to view solutions, replies, and use search function. Request answer by replying!
Post Reply