The Elastic Firm has two products coming on the market, Zigs and Zags. To make a Zig, the firm needs 10 units of product A and 15 units of product B. To make a Zag, they need 20 units of product A and 15 units of product B. There are only 2,000 units of product A and 3,000 units of product B available to the firm. The profit on a Zig is R4 and on a Zag it is R6. Management objectives in order of their priority are: (1) Produce at least 40 Zags. (2) Achieve a target profit of at least R750. (3) Use all of the product A available. (4) Use all of the product B available. (5) Avoid the requirement for more product A.   Formulate this as a goal programming problem.

Practical Management Science
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The Elastic Firm has two products coming on the market, Zigs and Zags. To make a Zig, the firm needs 10 units of product A and 15 units of product B. To make a Zag, they need 20 units of product A and 15 units of product B. There are only 2,000 units of product A and 3,000 units of product B available to the firm. The profit on a Zig is R4 and on a Zag it is R6. Management objectives in order of their priority are:

(1) Produce at least 40 Zags.

(2) Achieve a target profit of at least R750.

(3) Use all of the product A available.

(4) Use all of the product B available.

(5) Avoid the requirement for more product A.

 

Formulate this as a goal programming problem.

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