A steel company has two mills. Mill 1 costs $70,000 per day to operate, and it can produce 400 tons of high-grade steel, 500 tons of medium-grade steel, and 450 tons of low-grade steel each day. Mill 2 costs $60,000 per day to operate, and it can produce 350 tons of high-grade steel, 600 tons of medium-grade steel, and 400 tons of low-grade steel each day. The company has orders totaling 100,000 tons of high-grade steel, 150,000 tons of medium-grade steel, and 124,500 tons of low-grade steel. How many days should the company rum each mill to minimize its costs and still fill the orders?

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Linear Programming Concepts

Linear programming is a famous mathematical modeling tool for determining the best distribution of scarce resources among competing demands. Machinery, time, personnel, raw materials, money, and space are all resources. It is used to find the most optimal solution to a problem with given constraints. The real-life situations can be formulated using linear programming concepts into a mathematical model. Linear programming problems consist of an objective function and linear equalities subjected to constraints.