During the next three months Airco must meet (on time) the following demands for air conditioners: month 1, 300; month 2, 400; month 3, 500. Air conditioners can be produced in either New York or Los Angeles. It takes 1.5 hours of skilled labor to produce an air conditioner in Los Angeles, and 2 hours in New York. It costs $400 to produce an air conditioner in Los Angeles, and $350 in New York. During each month, each city has 420 hours of skilled labor available. It costs $100 to hold an air conditioner in inventory for a month. At the beginning of month 1, Airco has 200 air conditioners in stock. Formulate an LP whose solution will tell Airco how to minimize the cost of meeting air conditioner demands for the next three months.

Advanced Engineering Mathematics
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ISBN:9780470458365
Author:Erwin Kreyszig
Publisher:Erwin Kreyszig
Chapter2: Second-order Linear Odes
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Please only use Gams to solve the model and interpret the results.

During the next three months Airco must meet (on time) the following demands for air conditioners: month 1, 300; month 2,
400; month 3, 500. Air conditioners can be produced in either New York or Los Angeles. It takes 1.5 hours of skilled labor
to produce an air conditioner in Los Angeles, and 2 hours in New York. It costs $400 to produce an air conditioner in Los
Angeles, and $350 in New York. During each month, each city has 420 hours of skilled labor available. It costs $100 to hold
an air conditioner in inventory for a month. At the beginning of month 1, Airco has 200 air conditioners in stock. Formulate
an LP whose solution will tell Airco how to minimize the cost of meeting air conditioner demands for the next three months.
Transcribed Image Text:During the next three months Airco must meet (on time) the following demands for air conditioners: month 1, 300; month 2, 400; month 3, 500. Air conditioners can be produced in either New York or Los Angeles. It takes 1.5 hours of skilled labor to produce an air conditioner in Los Angeles, and 2 hours in New York. It costs $400 to produce an air conditioner in Los Angeles, and $350 in New York. During each month, each city has 420 hours of skilled labor available. It costs $100 to hold an air conditioner in inventory for a month. At the beginning of month 1, Airco has 200 air conditioners in stock. Formulate an LP whose solution will tell Airco how to minimize the cost of meeting air conditioner demands for the next three months.
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