1. Types of Cotton Raw Cotton Per yard Denim Processing Time Profit 5 3 $2.25 per yard 7.5 3.2 $3.10 per yard 6500 lb/month 3000 hr/month Corduroy Maximum Demand for Corduroy= 510 yard/ month A. Decision Variables x1= Number of Denim x2= Number of Corduroy Objective Function Maximize Z= 2.25x1+3.10x2 Subject to; 5x1 + 7.5x2 ≤ 6500 3x1 + 3.2x2 ≤ 3000 X2 ≤ 510 X1,x2 ≥ 0 B. Standard Form Maximize Z= 2.25x1+3.10x2+0S1+0S2+0S3 Subject to; 5x1 + 7.5x2 + 0S1 = 6500 3x1 + 3.2x2 +0S2= 3000 X2 + 0S3 = 510 X1,x2 ≥ 0 C. Graphical Computation 5x1 + 7.5x2 = 6500 Let x1=0, 5(0) + 7.5x2 = 6500 x2 = 6500/ 7.5 x2= 2600/3 3x1 + 3.2x2 = 3000 Let x1=0, 3(0)+ 3.2x2 = 3000 x2 = 3000/3.2 x2= 1875/2 Let x2=0, 5x1+ 7.5(0)= 6500 x1 = 6500/5 x2= 1300 Let x2=0, 3x1 + 3.2(0)=3000 x1 = 3000/3 x2= 1000 X2 = 510, x1=0 Corner Points x1 x2 Profit Max. Z= 2.25x1+3.10x2 A 0 510 $1,581 B 0 2600/3 $2,686.6667 C 3400/13 9000/13 $ 2.734.6154 D 465 510 $ 2,627.25 Therefore, 3400/13 or 261. 5385 yards of Denim and 9000/13 or 692.3077 yards of Corduroy must produce to maximize profit with $ 2,734. 6154. I. Extra Cotton Constraint: 5x1 + 7.5x2 = 6500 5(456)+7.5(510)= 6500 S1= 6500- 6105 S1= 395 pounds of cotton left over Demand for Corduroy: X2 ≤ 510 510=510 Therefore, the demand for corduroy is met Processing Time Left: 3x1 + 3.2x2 ≤ 3000 3(456) + 3.2(510) =3000 S2= 3000-3000 S2= 0 - no left over processing time II. Corner Points x1 x2 Profit Max. Z= 3x1+3.10x2 A 0 510 $1,581 B 0 2600/3 $2,686.6667 C 3400/13 9000/13 $ 2,930.7692 D 465 510 $ 2,976 Therefore, increasing profit per yard of denim from $2.25 to $3.00 will change the optimal solution, due to the sensitivity analysis's allowed increase is lesser than the increase in the objective function coefficient. The Irwin Textile Mills must produce 465 yards of Denim and 510 yards of Corduroy to maximize profit with $ 2,976. Corner Points x1 x2 Profit Max. Z= 2.25x1+4x2 A 0 510 $2,040 B 0 2600/3 $3,466.6667 C 3400/13 9000/13 $ 3,357.6923 D 465 510 $ 3,086.25 Therefore, increasing profit per yard of Corduroy from $3.10to $4.00 will change the optimal solution, due to the sensitivity analysis's allowed increase is lesser than the increase in the objective function coefficient. The Irwin Textile Mills must not produce yards of Denim and 2600/3 or 866.6667 yards of Corduroy to maximize profit with $ 3,466.6667. III. Types of Cotton Denim Corduroy Raw Cotton Per yard Processing Time Profit 5 3 $2.25 per yard 7.5 3.2 $3.10 per yard 6000 lb/month 3000 hr/month Maximum Demand for Corduroy= 510 yard/ month A. Decision Variables x1= Number of Denim x2= Number of Corduroy Objective Function Maximize Z= 2.25x1+3.10x2 Subject to; 5x1 + 7.5x2 ≤ 6000 3x1 + 3.2x2 ≤ 3000 X2 ≤ 510 X1,x2 ≥ 0 B. Standard Form Maximize Z= 2.25x1+3.10x2+0S1+0S2+0S3 Subject to; 5x1 + 7.5x2 + 0S1 ≤ 6000 3x1 + 3.2x2 +0S2≤ 3000 X2 + 0S3 ≤ 510 X1,x2 ≥ 0 C. Graphical Computation 5x1 + 7.5x2 = 6500 Let x1=0, 5(0) + 7.5x2 = 6000 x2 = 6000/ 7.5 x2= 800 3x1 + 3.2x2 = 3000 Let x1=0, 3(0)+ 3.2x2 = 3000 x2 = 3000/3.2 x2= 1875/2 Let x2=0, 5x1+ 7.5(0)= 6000 x1 = 6000/5 x2= 1200 Let x2=0, 3x1 + 3.2(0)=3000 x1 = 3000/3 x2= 1000 X2 = 510, x1=0 Corner Points x1 x2 Profit Max. Z= 2.25x1+3.10x2 A 0 510 $1,581 B 0 800 $2,480 C 435 510 $ 2,559.75 Therefore, decreasing pounds of cotton per month from 6500 to 6000 will change the optimal solution, due to the allowed decrease in the sensitivity analysis being lower that the decrease of the constraint on the right hand side. The Irwin Textile Mills must produce 435 yards of Denim and 510 yards of Corduroy to maximize profit with $ 2,559.75. D. If Irwin Mills has the opportunity to acquire extra resources, additional processing time would be the optimal choice. The sensitivity analysis indicates that the constraints can be increased the processing time to 237, the result would be an additional profit of 177.75. II. Sensitivity Ranges objective function coefficients: 0≤c1≤2.91 2.6≤c2≤ ꝏ Constraint; 6105≤b1≤ ꝏ 1632≤ b2≤ 3237 0≤ b3≤ 692.32 Range for corduroy = (Lower Bound, Upper Bound)= (0; 692.31) The range for corduroy implies that within the range of 0 and 692.31 it will increase the profit by $0.7 due to the additional increase in demand 2. A. Objective Function Minimize cost ($): 40x1 +35X2 Subject to constraints : 2x1+ 2X2 ≥ 12 5x1 + 3X2 ≥ 15 x,y ≥ 0 Decision Variables x= equals the quantity of vitamin in mix 1 y= equals the quantity of vitamin in mix 2 B. I. Determine an optimal solution using Excel Solver or another software. II. Propose a graphical solution. 2x1+ 2X2 =12 Let x1=0, 2(0) + 2x2 = 12 x2 = 12/2 x2= 6 5x1 + 3x2 =15 Let x1=0, 5(0) + 3x2 = 15 x2 = 15/3 x2= 5 Let x2=0, 2x1+ 2(0) = 12 x1 = 12/2 x1= 6 Let x2=0, 5x1 + 3(0)=15 x1 = 15/5 x1= 3 III. Find out the corner point solution. Corner Points x1 x2 A 3 0 B 0 5 C 0 6 D 6 0 C. II & III. Objective Function Minimize cost ($):Z= 40x1 +35x2 Subject to constraints : 2x1+ 2X2 ≥ 12 5x1 + 3X2 ≥ 9 x,y ≥ 0 Graphical Computation 2x1+ 2X2 =12 Let x1=0, 2(0) + 2x2 = 12 x2 = 12/2 x2= 6 Let x2=0, 2x1+ 2(0) = 12 x1 = 12/2 x1= 6 x2 = 9/3 x2= 3 5x1 + 3x2 =9 Let x1=0, 5(0) + 3x2 = 9 Let x2=0, 5x1 + 3(0)=9 x1 = 9/5 Corner Points x1 x2 Cost Min. Z=40x1 +35X2 A (infeasible) 3 0 $120 B (infeasible) 0 5 $175 C 0 6 $210 D 6 0 $240 Therefore, reducing Vitamin C from 15 to 9 units will not change the optimal solution. The manager must not produce Vitamin mix 1 and 6 Vitamin mix 2 to minimize cost with $ 210.