A maintenance section of a leading property company installs appliances for dential and commercial properties. Whoever...
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A maintenance section of a leading property company installs appliances for dential and commercial properties. Whoever rents the properties can avail the free service only once at the time of moving in. After installation and during the rent-period, if any problem arises, it is the responsibility of the tenant to pay the repair and replacement charges. The company receives revenue from repairing and replacement services while incurring cost during installation. Technicians travel a lot and the maintenance company bears the cost. The com- pany has earmarked a budget of € 7,000 per month for travelling. The company estimates that two of these jobs-air conditioners and washers-require at least 2 and at most 10 technicians: whereas refrigeration service needs at least 3 and at most 6 technicians. Only one technician is sufficient to service ovens; while servicing heaters needs at most 5 and at least 2 technicians. Revenue per technician per month Cost of travel of a technician per month Job 230 Air conditioners Refrigerators 2,600 2,500 350 Washers 2.550 100 Ovens 2,500 400 Heaters 2,700 230 a. Formulate a liner programming model to this problem to maximize profit. b. Solve this model using computer. c. Assume that the company does not have any budget to restrict cost of travel and wants to minimize travel cost, not the revenue from the technicians, how would this affect the solution? d. What is the pattern you observe in the solution and why does it occur? A maintenance section of a leading property company installs appliances for dential and commercial properties. Whoever rents the properties can avail the free service only once at the time of moving in. After installation and during the rent-period, if any problem arises, it is the responsibility of the tenant to pay the repair and replacement charges. The company receives revenue from repairing and replacement services while incurring cost during installation. Technicians travel a lot and the maintenance company bears the cost. The com- pany has earmarked a budget of € 7,000 per month for travelling. The company estimates that two of these jobs-air conditioners and washers-require at least 2 and at most 10 technicians: whereas refrigeration service needs at least 3 and at most 6 technicians. Only one technician is sufficient to service ovens; while servicing heaters needs at most 5 and at least 2 technicians. Revenue per technician per month Cost of travel of a technician per month Job 230 Air conditioners Refrigerators 2,600 2,500 350 Washers 2.550 100 Ovens 2,500 400 Heaters 2,700 230 a. Formulate a liner programming model to this problem to maximize profit. b. Solve this model using computer. c. Assume that the company does not have any budget to restrict cost of travel and wants to minimize travel cost, not the revenue from the technicians, how would this affect the solution? d. What is the pattern you observe in the solution and why does it occur?
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Auditing and Assurance services an integrated approach
ISBN: 978-0132575959
14th Edition
Authors: Alvin a. arens, Randal j. elder, Mark s. Beasley
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