Exercises 1–4 refer to an economy that is divided into three sectors —manufacturing, agriculture, and services. For each unit of output, manufacturing requires .10 unit from other companies in that sector, .30 unit from agriculture, and .30 unit from services. For each unit of output, agriculture uses .20 unit of its own output,.60 unit from manufacturing, and .10 unit from services. For each unit of output, the services sector consumes .10 unit from services, .60 unit from manufacturing, but no agricultural products.
1. Construct the consumption matrix for this economy, and determine what intermediate demands are created if agriculture plans to produce 100 units.
Want to see the full answer?
Check out a sample textbook solutionChapter 2 Solutions
Thomas' Calculus and Linear Algebra and Its Applications Package for the Georgia Institute of Technology, 1/e
Additional Math Textbook Solutions
College Algebra in Context with Applications for the Managerial, Life, and Social Sciences (5th Edition)
Elementary & Intermediate Algebra
Glencoe Algebra 2 Student Edition C2014
Elementary Algebra: Concepts and Applications (10th Edition)
Glencoe Algebra 1, Student Edition, 9780079039897, 0079039898, 2018
Elementary Algebra For College Students (10th Edition)
- 23. Consider a simple economy with just two industries: farming and manufacturing. Farming consumes 1/2 of the food and 1/3 of the manufactured goods. Manufacturing consumes 1/2 of the food and 2/3 of the manufactured goods. Assuming the economy is closed and in equilibrium, find the relative outputs of the farming and manufacturing industries.arrow_forwardSuppose the coal and steel industries form a closed economy. Every $1 produced by the coal industry requires $0.30 of coal and $0.70 of steel. Every $1 produced by steel requires $0.80 of coal and $0.20 of steel. Find the annual production (output) of coal and steel if the total annual production is $20 million.arrow_forwardA factory manufactures three products, A, B, and C. Each product requires the use of two machines, Machine I and Machine II. The total hours available, respectively, on Machine I and Machine Il per month are 7,090 and 10,940. The time requirements and profit per unit for each product are listed below. A B C Machine I 5 8 10 Machine II 10 9 16 Profit $10 $13 $18 How many units of each product should be manufactured to maximize profit, and what is the maximum profit? Start by setting up the linear programming problem, with A, B, and C representing the number of units of each product that are produced. Maximize P = subject to: ≤7,090 ≤ 10,940 Enter the solution below. If needed round numbers of items to 1 decimal place and profit to 2 decimal places. The maximum profit is $ units of product A units of product B units of product C when the company produces:arrow_forward
- Create an LP Model.arrow_forwardThe manager of the Burgle Doodle restaurant wants to determine how many sausage biscuits and ham biscuits to prepare each morning for breakfast customers. Two types of biscuits require the following resources: Biscuit Labor (hr.) Sausage (Ib.) Ham (Ib.) Flour (Ib.) Sausage 0.010 0.10 0.04 Ham 0.024 0.15 0.04 The restaurant has 6 hours of labor available each morning. The manager has a contract with a local grocer for 30 pounds of sausage and 30 pounds of ham each morning. The manager also purchases 16 pounds of flour. The profit for a sausage biscuit is $0.60; the profit for a ham biscuit is $0.50. The manager wants to know how many of each type of biscuit to prepare each morning in order to maximize profit. At the optimal solution, what is the shadow price associated with the Flour constraint? 12.5 We do not have enough information to determine the shadow price. 0 1arrow_forwardHart Manufacturing makes three products. Each product requires manufacturing operations in three departments: A, B, and C. The labor-hour requirements, by department, are as follows. Max Department Product 1 Product 2 Product 3 s.t. A B с Department A Department B 1.50 Department C P₁, P2, P320 P1¹ 2.00 0.25 3.00 1.00 During the next production period, the labor-hours available are 450 in department A, 350 in department B, and 50 in department C. The profit contributions per unit are $23 for product 1, $27 for product 2, and $28 for product 3. (a) Formulate a linear programming model for maximizing total profit contribution. (Let P; = units of product i produced, for i = 1, 2, 3.) 0.25 2.00 2.50 0.25 (b) Solve the linear program formulated in part (a). How much of each product should be produced, and what is the projected total profit contribution (in dollars)? (P₁, P₂, P3)-([ with profit $ (c) After evaluating the solution obtained in part (b), one of the production supervisors noted…arrow_forward
- Newcor’s steel mill has received an order for 25 tonsof steel. The steel must be 5% carbon and 5% molybdenumby weight. The steel is manufactured by combining threetypes of metal: steel ingots, scrap steel, and alloys. Foursteel ingots are available for purchase. The weight (in tons),cost per ton, carbon and molybdenum content of each ingotare given in Table 97.Three types of alloys can be purchased. The cost per tonand chemical makeup of each alloy are given in Table 98.Steel scrap may be purchased at a cost of $100 per ton.Steel scrap contains 3% carbon and 9% molybdenum.Formulate a mixed integer programming problem whosesolution will tell Newcor how to minimize the cost of fillingtheir order.arrow_forwardRVW (Restored Volkswagens) buys 15 used VW's at each of two car auctions each week held at different locations. It then transports the cars to repair shops it contracts with. When they are restored to RVW's specifications, RVW sells 10 each to three different used car lots. There are various costs associated with the average purchase and transportation prices from each auction to each repair shop. Also there are transportation costs from the repair shops to the used car lots. RVW is concerned with minimizing its total cost given the costs in the table below. a. Given the costs below, draw a network representation for this problem. Repair Shops Used Car Lots S1 S2 L1 L2 L3 Auction 1 460 520 S1 250 300 500 Auction 2 450 500 S2 300 550 450 b. Formulate this problem as a transshipment…arrow_forwardMachine Technologies, an electric retail company in Durban, has recorded the number of flat –screen TVs sold each week and the number of advertisements placed weekly for a period of 5 weeks. Database of flat-screen TV sales and newspaper advertisements Advertisement 4 4 3 2 5 Sales 26 28 24 18 35 Required: Calculate the Spearmans Rhoarrow_forward
- A baker has 150, 90, and 150 units of ingredients A, B, C, respectively. A loaf of bread requires 1, 1, and 2 units of A, B. C, respectively; a cake requires 5, 2, and 1 units of A, B. C. respectively. Find the number of each that should be baked in order to maximize gross income if: A loaf of bread sells for $1.40, and a cake for $3.20. Loaves cakes maximum gross incomearrow_forwardConsider a simple economy consisting of three sectors: food, clothing, and shelter. The production of 1 unit of food requires the consumption of 0.4 unit of food, 0.2 unit of clothing, and 0.2 unit of shelter. The production of 1 unit of clothing requires the consumption of 0.1 unit of food, 0.2 unit of clothing, and 0.3 unit of shelter. The production of 1 unit of shelter requires the consumption of 0.3 unit of food, 0.1 unit of clothing, and 0.1 unit of shelter. Find the level of production for each sector in order to satisfy the demand for $90 million worth of food, $20 million worth of clothing, and $260 million worth of shelter. (Round your answers to one decimal place.) food $ million clothing $ million shelter $ millionarrow_forwardExample 3. Food I contains 10 units of vitamin A and 12 unit of vitamin R gram and cost 20 paise per gram. Food II contains 7 unit of vitamin A and 15 unis of vitamin B and costs 18 paise per gram. The daily requirement of vitamin A and R are atleast 80 units and 90 units respectively. Formulate the above as an LPP to per minimise the cost. CS Scanned with CamScannerarrow_forward
- Linear Algebra: A Modern IntroductionAlgebraISBN:9781285463247Author:David PoolePublisher:Cengage LearningAlgebra for College StudentsAlgebraISBN:9781285195780Author:Jerome E. Kaufmann, Karen L. SchwittersPublisher:Cengage Learning