Lecture30aa - Lecture 4/07/09 1. Solution to URS Example 2....

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Lecture 4/07/09 1. Solution to URS Example 2. Graphical Sensitivity Analysis
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Variables urs (Example 9, P.186) Mondo Motorcycles Quarter 1 2 3 4 Demand 40 70 50 20 Manufacturing Cost = $400/unit Holding Cost = $100/unit/period Cost of increasing production from one period to next= $700/unit Cost of decreasing production from one period to next = $600/unit Other Information 1. All demands must be met on time 2. A quarter’s production may be used to meet demand for that quarter. 3. Production preceding quarter 1 = 50
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Definition of variables For t = 1,2,3,4 p t = # of motorcycles produced during period t x t =change between quarter t’s production and quarter t-1’s production. x t = p t - p t-1 x t is urs. x t = x t - x t = p t - p t-1 where x t = increase in production between period t and t-1 x t = decrease in production between period t and t-1
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Example 9, P.186 LP Formulation Min z = 400 p 1 +400 p 2 +400 p 3 + 400 p 4 +100 i 1 + 100 i 2 +100 i 3 +100 i 4 +700 x 1 +700 x 2 +700 x 3 +700 x 4 +600 x 1 +600 x 2 +600 x 3 +600 x 4 s. t. ( Inventory Constraints) i 1 = i 0 + p 1 - Demand period 1 =0+ p 1 - 40 => p 1 - i 1 =40 p 2 + i 1 - i 2 =70 p 3 + i 2 - i 3 =50 p 4 + i 3 - i 4 =20
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Example 9, P.186
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This note was uploaded on 04/17/2008 for the course CSA 273 taught by Professor Patton during the Spring '08 term at Miami University.

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Lecture30aa - Lecture 4/07/09 1. Solution to URS Example 2....

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