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Problem:

A cement manufacturer manufactures two kinds of cement, namely powder and granules. He can’t make more than 1600 bags a day due to a shortage of vehicles to transport the cement out of the plant. A sales contract means that he should produce at least 500 bags of powdered cement per day. He is further restricted by a shortage of time - the granulated cement needs twice as much time to make as the powdered cement. A bag of powdered cement needs 0.24 minutes to make and the plant operates an 8 hour day. His profit is $4 per bag for granulated cement and $3 per bag for powdered cement.

Required:

problem1. Formulate the LP problem of deciding how much the manufacturer must manufacture.

problem2. Work out this linear program graphically.

problem3. Which resources aren’t completely used by your solution?

Management Theories, Management Studies

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