A company has three plants, which produce three products. The demand forecasts for the three products...

 

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A company has three plants, which produce three products. The demand forecasts for the three products in the next month are summarized in the table below. The capacity of each plant to produce each product is also summarized in the table below. Product 1 Product 2 Product 3 Capacity, cj (hours) Production rate, rij (units per hour) Plant 1 Plant 2 Plant 3 100 200 60 160 120 250 50 200 150 150 100 180 Demand, di (units) 20,000 40,000 15,000 The operations costs of Plants 1, 2, and 3 are $250/hour, $500/hour and $300/hour, respectively. The company needs to determine the quantity of each type of product to be produced that minimize the total production cost and meet demand. Build a What'sBest model to solve this problem. A company has three plants, which produce three products. The demand forecasts for the three products in the next month are summarized in the table below. The capacity of each plant to produce each product is also summarized in the table below. Product 1 Product 2 Product 3 Capacity, cj (hours) Production rate, rij (units per hour) Plant 1 Plant 2 Plant 3 100 200 60 160 120 250 50 200 150 150 100 180 Demand, di (units) 20,000 40,000 15,000 The operations costs of Plants 1, 2, and 3 are $250/hour, $500/hour and $300/hour, respectively. The company needs to determine the quantity of each type of product to be produced that minimize the total production cost and meet demand. Build a What'sBest model to solve this problem.

Answer rating: 100% (QA)

solution Let the hours of operation producting product i at plant be denoted by zeii The obje... View the full answer