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OPRE/411 Week 4

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OPRE/411 Week 4
OPRE 411
HOMEWORK #4
1. Use Solver in EXCEL to solve each of the following linear programming problems. To do so, complete the model in the given file in Blackboard and report the optimal solution and optimal objective function value in the context of the problem.
(a) The Product-Mix Problem of BlubberMaid (see the file blubber.xls in Blackboard).
(2 points)
(b) The Make-Or-Buy Problem of MTV Steel (see the file makeorbu.xls in Blackboard).
(5 points)
(c) The Energy Problem of Lilliput on page 11 in Section 1.2 of your textbook (see the file energy.xls in Blackboard). (9 points)
2. Use the solution and sensitivity reports obtained from EXCEL to answer each of the following questions pertaining to the Product-Mix Problem of BlubberMaid (see the data file
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All questions pertain to the original problem.
(a) Which of the four resource constraints are binding? (1 point)
(b) With the current production plan, for which of the three products can an additional demand of 5% be met? (3 points)
(c) If you could obtain additional quantities of only one of the three polymers, which one would you recommend? Explain. (3 points)
(d) Which profit coefficients could double, while keeping all other coefficients fixed, without affecting the optimal production plan? Explain. (3 points)
3. Use the solution and sensitivity reports obtained from EXCEL to answer each of the following questions pertaining to the Product-Mix Problem of BlubberMaid. If you are unable to use these reports to answer the question, explain why and then obtain the solution by solving an appropriately modified problem. All questions pertain to the original problem.
(a) The profit from Extendex has just decreased by 20%. What is new production plan and total profit? (5 points)
(b) The commitment to produce 400 pounds of Resistex has just dropped by 10%. What happens to the optimal profit? Explain. (5

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