Operations Management
11th Edition
ISBN: 9780132921145
Author: Jay Heizer
Publisher: PEARSON
expand_more
expand_more
format_list_bulleted
Concept explainers
Question
Chapter B, Problem 3DQ
Summary Introduction
To define: Thefeasible region of a graphical linear programming problem and the feasible solution.
Introduction:
Linear programming:
It is a linear optimization technique followed to develop a best outcome for the problem in hand. The outcome might be of maximum profit or less cost which are represented by a linear relationship. The outcome will take into consideration the constraints present in achieving the solution.
Expert Solution & Answer
Want to see the full answer?
Check out a sample textbook solution
Students have asked these similar questions
Develop a decision analysis formulation of this problem by identifying the decision alternatives, state of nature, and the payoff table.
Formulate decision variable, objective function, and constraints only.
Eastborne Realty has $2 million available for the purchase of new rental property. After an initial screening, Eastborne reduced the investment alternatives to townhouses and apartment buildings. Each townhouse can be purchased for $282,000, and five are available. Each apartment building can be purchased for $400,000, and the developer will construct as many buildings as Eastborne wants to purchase.
Eastborne’s property manager can devote up to 140 hours per month to these new properties; each townhouse is expected to require 4 hours per month, and each apartment building is expected to require 40 hours per month. The annual cash flow, after deducting mortgage payments and operating expenses, is estimated to be $10,000 per townhouse and $15,000 per apartment building. Eastborne’s owner would like to determine the number of townhouses and the number of apartment buildings to purchase to maximize annual cash flow.
How do linear programming, the linear decision rule, thesearch decision rule, and the management coefficients modeldiffer in terms of cost functions and output?
Chapter B Solutions
Operations Management
Ch. B - Prob. 1DQCh. B - Prob. 2DQCh. B - Prob. 3DQCh. B - Prob. 4DQCh. B - Prob. 5DQCh. B - Prob. 6DQCh. B - Prob. 7DQCh. B - Prob. 8DQCh. B - Prob. 9DQCh. B - Prob. 10DQ
Ch. B - Prob. 11DQCh. B - Where a constraint crosses the vertical or...Ch. B - Prob. 13DQCh. B - Prob. 1PCh. B - Prob. 2PCh. B - Prob. 3PCh. B - B.4. Consider the following linear programming...Ch. B - Prob. 5PCh. B - Prob. 6PCh. B - Prob. 7PCh. B - Prob. 8PCh. B - Green Vehicle Inc. manufactures electric cars and...Ch. B - Prob. 10PCh. B - Prob. 11PCh. B - Prob. 12PCh. B - The LP relationships that follow were formulated...Ch. B - Prob. 14PCh. B - Prob. 15PCh. B - Prob. 16PCh. B - Prob. 17PCh. B - Prob. 18PCh. B - Prob. 19PCh. B - Prob. 20PCh. B - Prob. 21PCh. B - Prob. 22PCh. B - Prob. 23PCh. B - How many corner points are there in the feasible...Ch. B - Prob. 25PCh. B - Prob. 26PCh. B - A fertilizer manufacturer has to fulfill supply...Ch. B - Prob. 28PCh. B - Bowman Builders manufactures steel storage sheds...Ch. B - Prob. 30PCh. B - Quain Lawn and Garden, Inc Bill and Jeanne Quain...Ch. B - Quain Lawn and Garden, Inc Bill and Jeanne Quain...
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, operations-management and related others by exploring similar questions and additional content below.Similar questions
- A local real estate investor in Kingston is considering three alternative investments: a motel, a restaurant, or a theater. Profits from the motel or restaurant will be affected by the availability of gasoline and the number of tourists; profits from the theater will be relatively stable under any conditions. The following payoff table shows the profit or loss that could result from each investment: Real Estate Investor Payoff Table Payoffs are Profits States of Nature (Gasoline Availability) Decision Alternatives Shortage Stable Supply Surplus Motel $–8,000 $15,000 $22,000 Restaurant $2,000 $8,000 $6,000 Theater $6,000 $6,000 $5,000 Which option should the real estate investor choose if he uses the LaPlace criterion? Using…arrow_forwardHow does an optimal frontier graph draw a risk-free line?arrow_forwardn September 2012, a 260,000 square foot Costco anchored shopping center was acquired in San Mateo, California for $36 million with a $26 million fully amortizing first mortgage loan from Union Bank. By 2018, the property had substantially appreciated in value and was worth $72 million and the owner wanted to access part or all of the increased equity value while paying little or no current taxes. The owner might: Refinance the property with a larger loan All these answers are correct Sell the property under an installment sale contract Trade the property for a property whose sale price is more than $54 million under Section 1031 of the Internal Revenue Codearrow_forward
- Formulate an LP for this minimization problemarrow_forwardCity government has collected the following data on annual sales tax collections and new car registrations: Annual Sales Tax Collections (in millions) 1.0 1.4 1.9 2.0 1.8 2.1 2.3 2.5 New Car Registrations (in millions) 10 12 15 16 14 17 20 22 Determine the following: Plot these data and decide if a linear model is reasonable. Using the results of part a., find the estimated sales tax collections if new car registrations total 25,000,000.arrow_forward3) A brokerage firm has been tasked with investing $500,000 for a new client. The client has asked that the broker select promising stocks and bonds for investment, subject to the following guidelines: at least 20% in municipal bonds, at least 10% each in real estate and pharmaceutical stock, and at least 40% in a combination of energy and domestic automobile stocks with each accounting for at least 15%. The returns are as follows: Municipal = 5.3%, Domestic Automobile = 8.8%, Energy = 4.9%, Pharmaceuticals = 8.4% and Real Estate = 10.4%. a) Write a linear program complete with objective function and all constraints to Maximize the return. (5 points) b) What is the optimal solution? Give values for all variables rounded to the nearest cent.(2 points) c) How much annual income does the optimal solution generate? (2 points) d) Submit your excel workbook. (2 points)arrow_forward
- How to solve descision tree using Analytical Solver for the assignment below Chelsea Bush is an emerging candidate for her party’s nomination for president of the United States. She now is considering whether torun in the high-stakes Super Tuesday primaries. If she enters the Super Tuesday (ST) primaries, she and her advisers believe that she will either do well (finishfirst or second) or do poorly (finish third or worse) with probabilities 0.4 and 0.6, respectively. Doing well on Super Tuesday will net the candidate’s campaignapproximately $16 million in new contributions, whereas a poor showing will mean a loss of $10 million after numerous TV ads are paid for. Alternatively, shemay choose not to run at all on Super Tuesday and incur no costs.Chelsea’s advisors realize that her chances of success on Super Tuesday may be affected by the outcome of the smaller New Hampshire (NH) primary occurringthree weeks before Super Tuesday. Political analysts feel that the results of New…arrow_forwardPLEASE SOLVE USİNG DECİSİON ANALYSISarrow_forwardMeega airlines decided to offer direct service from Akron, Ohio to Clearwater Beach, Florida. Management must decide between full-price service using the company's new fleet of jet aircraft and a discount-service using smaller capacity commuter planes. Management developed estimates of the contribution to profit for each type of service based upon three possible levels of demand for service: high, moderate, and low. The following table shows the estimated quarterly profits (in thousands of dollars). Service Full price Discount Select one: O a. D2 O b. D3 c. D1 d. D4 Demand for service High Medium Low 760 -430 900 710 650 350 The probabilities for the demand levels are P(High) = 0.3, P(Medium) = 0.5, and P(Low) = 0.2, respectively. In the payoff table from the previous question, what is the optimal decision under the maximin criterion?arrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
Practical Management ScienceOperations ManagementISBN:9781337406659Author:WINSTON, Wayne L.Publisher:Cengage,
Practical Management Science
Operations Management
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:Cengage,