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a. Write the equations expressing this information. (Leave no cells blank - be certain to enter "O" wherever required. Negative answers should be indicated by a minus sign. Round your answers to 2 decimal places.)

a. Write the equations expressing this information. (Leave no cells blank - be certain to enter "O" wherever required. Negative answers should be indicated by a minus sign. Round your answers to 2 decimal places.)

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Logan Manufacturing wants to mix two fuels, A and B, for its trucks to minimize cost. It needs no fewer than 3,300 gallons to run its trucks during the next month. It has a maximum fuel storage capacity of 4,400 gallons. There are 1,500 gallons of fuel A and 4,100 gallons of fuel B available. The mixed fuel must have an octane rating of no less than 70. When fuels are mixed, the amount of fuel obtained is just equal to the sum of the amounts put in. The octane rating is the weighted average of the individual octanes, weighted in proportion to the respective volumes. The following is known: Fuel A has an octane of 87 and costs $1.00 per gallon. Fuel B has an octane of 65 and costs $1.60 per gallon. a. Write the equations expressing this information. (Leave no cells blank - be certain to enter "O" wherever required. Negative answers should be indicated by a minus sign. Round your answers to 2 decimal places.) Minimize 1.00 A + 1.60 B s.t Fuel demand A + B Storage A B Fuel A available A B Fuel B available А + B Blend A + B А, В b. Solve the problem using the Excel Solver, giving the amount of each fuel to be used. (Round number.) answers to the nearest whole Decision for A Decision for B Total cost Resources Used Demand Storage Fuel A Fuel B Dlond
Transcribed Image Text:Logan Manufacturing wants to mix two fuels, A and B, for its trucks to minimize cost. It needs no fewer than 3,300 gallons to run its trucks during the next month. It has a maximum fuel storage capacity of 4,400 gallons. There are 1,500 gallons of fuel A and 4,100 gallons of fuel B available. The mixed fuel must have an octane rating of no less than 70. When fuels are mixed, the amount of fuel obtained is just equal to the sum of the amounts put in. The octane rating is the weighted average of the individual octanes, weighted in proportion to the respective volumes. The following is known: Fuel A has an octane of 87 and costs $1.00 per gallon. Fuel B has an octane of 65 and costs $1.60 per gallon. a. Write the equations expressing this information. (Leave no cells blank - be certain to enter "O" wherever required. Negative answers should be indicated by a minus sign. Round your answers to 2 decimal places.) Minimize 1.00 A + 1.60 B s.t Fuel demand A + B Storage A B Fuel A available A B Fuel B available А + B Blend A + B А, В b. Solve the problem using the Excel Solver, giving the amount of each fuel to be used. (Round number.) answers to the nearest whole Decision for A Decision for B Total cost Resources Used Demand Storage Fuel A Fuel B Dlond
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