
Explanation of Solution
Formulation of a Linear
Let “i = 1” is diagnostic services, 2 is bed day service, 3 is nursing care use and 4 is drugs supplied.
Let “xij” be the service “i” and “j” diagnostic-related groups (DRGs), for (i = 1, 2, 3, 4 and j = 1, 2, 3, 4).
The objective is to find the optimal mix of DRGs.
Therefore, the objective function to maximize the profit is,
Constraint 1:
At most, 570 hours of diagnostic service are available.
Constraint 2:
At most, 1000 bed-days are available.
Constraint 3:
At most, 50000 hours of nursing are available.
Constraint 4:
At most, 50000 dollars of drugs are available

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Chapter 3 Solutions
Introduction to mathematical programming
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