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The Ace Manufacturing Company has orders for three similar products. Orders Product (units) A 2,200 B 300 1,100 Three machines are available for the manufacturing operations. All three machines can produce all the products at the same production rate. However, due to varying defect percentages of each product on each machine, the unit costs of the products vary depending on the machine used. Machine capacities for the next week and the unit costs are shown below. Сaрacity (units) Machine 1,300 1,500 1,000 Machine Product 1 2 A $1.00 $1.30 $1.10 В $1.20 $1.40 $1.00 $0.90 $1.20 $1.20

The Ace Manufacturing Company has orders for three similar products. Orders Product (units) A 2,200 B 300 1,100 Three machines are available for the manufacturing operations. All three machines can produce all the products at the same production rate. However, due to varying defect percentages of each product on each machine, the unit costs of the products vary depending on the machine used. Machine capacities for the next week and the unit costs are shown below. Сaрacity (units) Machine 1,300 1,500 1,000 Machine Product 1 2 A $1.00 $1.30 $1.10 В $1.20 $1.40 $1.00 $0.90 $1.20 $1.20

Practical Management Science
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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The Ace Manufacturing Company has orders for three similar products. Orders Product (units) A A 2,200 B 300 1,100 Three machines are available for the manufacturing operations. All three machines can produce all the products at the same production rate. However, due to varying defect percentages of each product on each machine, the unit costs of the products vary depending on the machine used. Machine capacities for the next week and the unit costs are shown below. Саpacity (units) Machine 1 1,300 1,500 3 1,000 Machine Product 3 A $1.00 $1.30 $1.10 B $1.20 $1.40 $1.00 $0.90 $1.20 $1.20
Transcribed Image Text:The Ace Manufacturing Company has orders for three similar products. Orders Product (units) A A 2,200 B 300 1,100 Three machines are available for the manufacturing operations. All three machines can produce all the products at the same production rate. However, due to varying defect percentages of each product on each machine, the unit costs of the products vary depending on the machine used. Machine capacities for the next week and the unit costs are shown below. Саpacity (units) Machine 1 1,300 1,500 3 1,000 Machine Product 3 A $1.00 $1.30 $1.10 B $1.20 $1.40 $1.00 $0.90 $1.20 $1.20
Use the transportation model to develop the minimum cost production schedule for the products and machines. (a) Show the linear programming formulation. (Let x,, be the number of units of product A produced by machine 1, x, be the number of units of product i produced by machine j, etc.) Min s.t. Machine 1 Capacity Machine 2 Capacity Machine 3 Capacity Product A Orders Product B Orders Product C Orders X; 2 0 for all i, j. (b) Show the production schedule. (X41. XA2: XA31 X81, XB2: X83, Xcı: Xc2 Xc3) = (c) Determine the cost (in dollars) of the production schedule. Total = $
Transcribed Image Text:Use the transportation model to develop the minimum cost production schedule for the products and machines. (a) Show the linear programming formulation. (Let x,, be the number of units of product A produced by machine 1, x, be the number of units of product i produced by machine j, etc.) Min s.t. Machine 1 Capacity Machine 2 Capacity Machine 3 Capacity Product A Orders Product B Orders Product C Orders X; 2 0 for all i, j. (b) Show the production schedule. (X41. XA2: XA31 X81, XB2: X83, Xcı: Xc2 Xc3) = (c) Determine the cost (in dollars) of the production schedule. Total = $
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