1550 2000 f1 demand 1 400 400 f2 demand 1 100 300 f3

1550 <= 2000
F1 Demand 1 400 <= 400
F2 Demand 1 100 <= 300
F3 Demand 1 50 <= 50
Fixed cost $60,000 $200,000 $100,000 $360,000.00
net profit $410,000.00

Mayhugh Manufacturing
Correct Approach: Linking Constraints for Fixed Costs
Decisions F1 F2 F3
Quantity (x) 250 250 0 000 units
Binary 1 1 0
Objective
Variable Profit $1,200 $1,800 $2,200 Net Profit
Fixed Cost $60,000 $200,000 $100,000 $490,000.00
Constraints LHS RHS
Dept A 3 4 8 1750 <= 2000
Dept B 3 5 6 2000 <= 2000
Dept C 2 3 9 1250 <= 2000
limit (M) 400 300 50
Max link -150 -50 0 <= 0
Threshold(m) 250
Min Link 0 >= 0

Blue Ridge Hot Tubs
Decisions A1 A2 H1 H2
# Produced (x) 0 117 0 78
Binary (y) 0 0 0 0
Objective Total
Profit $350 $375 $300 $325 $69,177
Contraints LHS RHS
Pump 1 1 1 1 195 <= 200
Labor 9 9 6 6 1520 <= 1520
Tubing 12 12 16 16 2650 <= 2650
M 124 200 99 200
Link M 0 0 0 0 <= 0
m 1 125 1 100
Link m 0 117 0 78 >= 0

Allocation Model
Decision Variables
C D T
#Produced 0 275 100
Objective Functions Total
Profit $15 $24
$ 18
$ 8,400.00
Constraints LHS RHS
Fab Hours 4 6 2 1850 <= 1850
Asy Hours 3 5 7 2075 <= 2400
Shp Hours 3 2 4 950 <= 1500
C Demand 1 0 <= 360
D Demand 1 275 <= 300
T Demand 1 100 <= 100

Microsoft Excel 16.0 Sensitivity Report
Worksheet: [Topic 3 (1).xlsx]Sheet3
Report Created: 6/19/2018 1:28:55 PM
Variable Cells
Final Reduced Objective Allowable Allowable
Cell Name Value Cost Coefficient Increase Decrease
$B$5 #Produced C 0 -1 15 1 1.000E+030
$C$5 #Produced D 275 0 24 30 1.5
$D$5 #Produced T 100 0 18 1.000E+030 10
Constraints
Final Shadow Constraint Allowable Allowable
Cell Name Value Price R.H. Side Increase Decrease
$E$11 Fab Hours LHS 1850 4 1850 150 1650
$E$12 Asy Hours LHS 2075 0 2400 1.000E+030 325
$E$13 Shp Hours LHS 950 0 1500 1.000E+030 550
$E$14 C Demand LHS 0 0 360 1.000E+030 360
$E$15 D Demand LHS 275 0 300 1.000E+030 25
$E$16 T Demand LHS 100 10 100 60.9375 75