USE SIMPLEXMETHOD1. A refinery can buy light crude oil and heavy crude oil. The cost per barrel of these types of oil is 11 and9 euros, respectively. Of each type of oil, the following amounts of gasoline, kerosene, and jet fuel areproduced per barrel.light crude oilheavy crude oilGasoline kerosene0,40 0, 200,320, 40Fuel0, 350,20In the refining process, 5% and 8% of the crude is lost, respectively. The refinery has a contract to deliverone million barrels of gasoline, four hundred thousand barrels of kerosene, and two hundred and fiftythousand barrels of jet fuel. Determine the number of barrels of each type of crude oil that will satisfy thedemand and minimize the cost.

The simplex method is an iterative algorithm used to solve linear programming problems. Linear…

Answered: 1. A refinery can buy light crude oil…

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter2: Introduction To Spreadsheet Modeling

Section: Chapter Questions

Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...

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yz=06 Question 6 A newly purchased equipment item in your organization has a compressor that is known to experience failure (requiring complete replacement) after 6 years. Because of the problems in finding OEM parts, your organization is considering purchasing spare compressors. Your organization uses some numbers (all PER SINGLE COMPRESSOR) to make decisions: It costs $1200+YZ to purchase AND store a single spare compressor for one year. It costs $2000 for downtime costs and repair with that same stored compressor It costs $5000 to purchase a compressor (and downtime costs) and repair if you have to purchase it when it is immediately required. (the higher cost reflecting the convenience and not having to pay for storage) If the time frame of analysis is 4 years, use the Poisson distribution to advise on the lowest cost decision (ie. How many spare compressors will you recommend - zero, one, two...?)
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15. Applied Machines produces large test equipment for integrated cireuits. The machines are made to order, so the production rate varies from month to month. Before shipping, each machine is subject to extensive testing. Based on the tests the machine is either passed or sent back for rework. During the past 20 months the firm has had to rework the following numbers of machines: Number Number Number Number Month Produced Reworked Month Produced Reworked 23 28 16 3 3 11 17 3 12 4 1 13 14 2 14 41 15 16 18 32 4 29 19 17 18 33 46 21 4 5 12 1 19 7 10 7 1 20 29 7 Determine if the process was in control for the 20-month period using a stan- dardized version of the p chart. Assume three-sigma limits for the control chart. 123456 7 8 9으
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