Management Science

Doing so would reduce the budget by 5000 but increase

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Unformatted text preview: incremental contribution (price/each add’t unit produced) 2. Find the optimal solution by using Excel Solver for the above decision situation. 1). How many to purchase for each type of trucks? T: number of trailers to buy = 22.28571 M: number of medium trucks to buy = 5.714286 P: number of pickups to buy = 0 LS: monthly load in ton- mile contracted out to Speedie = 131428.6 2). What is the optimal objective function value? How much is saved in monthly operating cost by Consolidated by owning trucks? Optimal monthly operating cost = what obj function creates=$142,742 Save as compared to before = 400000(0.5)- 142742.9 = $57,257.1 (miles delivered per month*Speedie)- Opt monthly operating cost 3). Based on the optimal solution, how long it takes to pa...
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This test prep was uploaded on 04/02/2014 for the course MGT 2251 taught by Professor Chang during the Fall '08 term at Georgia Tech.

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