you are given the following data for a linear programming problem where theobjective is to minimize the cost of conducting two nonnegativeactivities so as to achievethree benefits that do not fall below their minimum levels.Benefit Contribution perUnit of Each ActivityMinimumAcceptableLevelBenefitActivity 1Activity 2156022303126Unit cost$60$50(a) Formulate a linear programming model for this problem.(b) Use the graphical method to solve this model.I am confused with the sensitivity analysis part:(c) What is the sensitivity range of the unit cost of activity 1? Please calculate the optimalobjective value if we change the unit cost of activity 1to 80. What if we change the unitcost of activity 1 to 90? (Hint: You can use excel or python to solve the problem.)(d) What is the sensitivity range of the minimum acceptable level of benefit 3? Pleasecalculate the optimal objective value if change theminimum acceptable level of benefit 3 to 130. What if we change the minimum acceptable level of benefit 3 to 110?(e) What is the sensitivity range of the unit cost of activity 2?Suppose we change the unitcost of the two activities to 90for activity 1 and 80for activity 2. Are the new unit costs in the sensitivity range?Does the optimal solution change? Is the sensitivity rangeapplicable when multiple parameters change?

Since you have submitted multiple subparts, as per guidelines we have answered the first three…

Answered: you are given the following data for a…

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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Hassan owns a company that manufactures sailboats. Actual demand for Hassan's sailboats during each season in 2006 through 2009 was as follows; YEAR Season 2006 2007 2008 2009 Winter 1,400 1,200 1,000 900 Spring 1,500 1,400 1,600 1,500 Summer 1,000 2,100 2,000 1,900 Fall 600 750 650 500 Hassan has forecasted that annual demand for his sailboats in 2011 will equal 5,600 sailboats. Based on this data and the multiplicative seasonal model, what will the demand level be for Hassan's sailboats in the spring of 2011?
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eBook Problem 8-21 (Algorithmic) Round Tree Manor is a hotel that provides two types of rooms with three rental classes: Super Saver, Deluxe, and Business. The profit per night for each type of room and rental class is as follows: Room Type 1 Type II Rental Class Super Saver $37 $18 Explain. Deluxe $40 $33 Variable SuperSaver rentals allocated to room type I SuperSaver rentals allocated to room type II Deluxe rentals allocated to room type I Deluxe rentals allocated to room type II Business rentals allocated to room type II Is the demand by any rental class not satisfied? Business Type 1 rooms do not have wireless Internet access and are not available for the Business rental class. Round Tree's management makes a forecast of the demand by rental class for each night in the future. A linear programming model developed to maximize profit is used to determine how many reservations to accept for each rental class. The demand forecast for a particular night is 125 rentals in the Super Saver…
Determining Margin Potential Finding the maximum amount of profit you can generate from one unit of a product is called Margin Potential. This is useful for a company when making a decision about whether to go into production or not. In its simplest form, you can calculate Margin Potential as: Margin Potential = Maximum Price - Minimum Unit Costs Price Use the information table below to find the maximum price that customers deem acceptable. You can find this in the Customer Buying Criteria for each segment. Minimum Material Cost Calculate the minimum Material Cost per segment using the following equation and table below: Minimum Material Cost = [(Lowest Acceptable MTBF * 0.30) / 1000] + Trailing Edge Material Cost Minimum Labor Cost Calculate the minimum Labor Cost for each segment. Assume a base labor cost of $11.20 ($11.20 is a rough estimate of labor cost used solely to illustrate the Margin Potential Concept). Minimum Labor Cost = [$11.20 - (1.12 * Automation Ratings Below)] + 1.12…
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