Question: 1 . Claims Processing Specialists ( CPS ) processes insurance claims for health care providers. CPS has capacity for up to 4 5 employees. They

1. Claims Processing Specialists (CPS) processes insurance claims for health care providers. CPS has capacity for up to 45 employees. They pay $400 per day for permanent claims processors and are considering the possibility of also using temporary help for $240 per day. Past history shows that an experienced, permanent processor can complete 15 claims per day, but a temporary employee typically completes only 10 per day. A permanent operator averages 0.5 claims with errors each day, whereas a temporary operator averages about 1.4 defective claims per day. The company wants to process at least 500 claims each day and wants to limit claims with errors to less than 5%(25 per day). How many permanent and temporary processors does CPS need on staff each day if they want to minimize costs?
Please note that fractional answers can be interpreted as hiring part time employees.
a. Formulate a linear programming model for this problem. Provide a complete algebraic formulation including a careful definition of decision variables and write a sentence stating the solution in the context of the problem.

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