IE522 Mathematical Modelling and Decision Making: Assignment #1B
1. Which of the constraints are binding constraints?
Constraint 1, 3, 5, 6 and 7 are binding constraints because their slacks are 0. Those
constraints who have zero slacks are binding constraints.
2. Will optimal solution change if we increase the upper bound of variable x1 from 500 to
600? Give reasons for your answer.
Optimal solution will not change by changing upper bound of variable x1 from 500 to 600
because as value of vendor x1 is come 0 as same. So, by changing upper bound it does not affect
the value of x1.
3. In the current optimal solution, vendor 1 is not receiving an order for supply of valves.
What is the minimum amount by which vendor 1 should lower his average price to
receive an order? His current average price is $14.22 per valve.
According to the tora solution if we go through on sensitivity analysis given on solution we
can see that the reduced cost for X1 is mentioned -2.39 which means minimum amount
should be lowered up to $11.83 so that vendor 1 can receive an order for supply of valves.
4. Using the Tora output provided compute the new value of objective function if the
demand for size 7 valve is reduced from 300 to 290? Show detailed calculations and
given reasons. Answer this question using the Tora output only.
Tora new output is attached below. When size 7 valve is reduced from 300 to 290 in tora
input then new value of objective function is come as 41590.16 in tora output and number of
iterations also increased from 31 to 32 iterations. Whereas value of variables such as x4, x7,
x10, x11, x12 also changed little bit du to which value of overall objective function also get
changed.