The LP model and output below represent a problem whose solution will tell a specialty retailer how many of four different styles of umbrellas to stock in order to maximize profit. It is assumed that every one stocked will be sold. The variables measure the number of women's (X1), golf (X2), men's (X3), and folding umbrellas (X4), respectively. The constraints measure storage space in units (Constraint 1), special display racks (Constraint 2), demand (Constraint 3), and a marketing restriction (Constraint 4), respectively. There is nothing you need to solve for this problem. All questions below can be answered by the output. MAX 5 X1 + 7 X2 + 6 X3 + 4.5 X4 SUBJECT TO 1) 2 X1 + 3 X2 + 3 X3 + X4 <= 120 2) 1.5 X1 + 2 X2 <= 54 3) 2 X2 + X3 + X4 <= 72 4) X2 + X3 >= 12 By how much can the amount of space increase before there is a change in the dual price? You are offered an advertisement that should increase the demand constraint from 72 to 86 for a total cost of $20. Would you say year or no? Why?
The LP model and output below represent a problem whose solution will tell a specialty retailer how many of four different styles of umbrellas to stock in order to maximize profit. It is assumed that every one stocked will be sold. The variables measure the number of women's (X1), golf (X2), men's (X3), and folding umbrellas (X4), respectively. The constraints measure storage space in units (Constraint 1), special display racks (Constraint 2), demand (Constraint 3), and a marketing restriction (Constraint 4), respectively. There is nothing you need to solve for this problem. All questions below can be answered by the output.
MAX 5 X1 + 7 X2 + 6 X3 + 4.5 X4
SUBJECT TO
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1) 2 X1 + 3 X2 + 3 X3 + X4 <= 120 |
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2) 1.5 X1 + 2 X2 <= 54 |
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3) 2 X2 + X3 + X4 <= 72 |
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4) X2 + X3 >= 12
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By how much can the amount of space increase before there is a change in the dual price?
You are offered an advertisement that should increase the demand constraint from 72 to 86 for a total cost of $20. Would you say year or no? Why?
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