1. (50pts) Consider the following LP formulation: Machine B-- 1 hour's - -- LP Model: Max 100X + 400Y s.t 10X + 8Y s 80 (Machine A hours) 6X + 2Y S 36 (Machine B hours) Ys 8 (Machine C hours) X, Y20 - Optimal Solution | Machine C hours_). -4---4---4---7-1---4---4--- - --- Et... Objective Function Machine A hours Determine the missing numbers in the Excel Sensitivity Analysis report. Explain your results. Variable Cells Final Reduced Objective Allowable Allowable Cell Name Value Cost Coefficient Increase Decrease $B$5 X 1.6 0 100 $C$5 Y 8 0 400 1E+30 320 Constraints Final Shadow Constraint Allowable Allowable Cell Name Value Price R.H. Side Increase Decrease $D$10 Machine A hours 80 10 80 17.3333 16 $D$11 Machine B hours 25.6 C 36 1E+30 10.4 $D$12 Machine C hours 8 8 3.71429 E. Suppose that a technical upgrade will allow you to increase the capacity of Machine A by 20 hours, at a cost of $160. Should you implement this upgrade? Explain your answer.2. (5 Opts) McDonald-Pelz wants to determine its oil trading strategy for the next two weeks (10 business days). The following table summarizes the estimated purchase prices (the Ask price, per thousand barrels) and sales prices (the Bid price, per thousand barrels) during each of the next 10 business days. DAY ASK BID 1 \\ $3,220 $3,060 2 $4,100 $4,010 3 $6,130 $6,030 4 $4,190 $4,060 5 $4,050 $4,010 6 $5,120 $5,020 7 $5,280 $5,100 8 $4230 $4,080 9 ' $3,150 $3,010 10 $4,180 $4,010 McDonald-Pelz currently has 150,000 barrels of oil in storage. The storage facility it rents has a maximum storage capacity of 500,000 barrels. Due to safety regulations, a maximum of 180,000 barrels can be taken out of the storage facility per day. At the same time, a maximum of than 200,000 barrels can be added to the storage each day. The storage facility's owner charges a fee equal to 5% of the bid value of the average daily oil inventory. a) Create a spreadsheet model that can be used to determine an optimal trading strategy and solve it. b) What is the optimal solution