1. Make an algebraic model for this problem, where the variables are defined as follows: E and R are respectively the amount of Extra/Regular gasoline in m3 blended and sold; A and B are respectively the amount of gasoline in m3 purchased from Avalon Fuels/Bonavista Petrol; AE, AR, BE, and BR are respectively the amounts in m3 of Avalon/Bonavista gasoline used to make extra/Regular gasoline.

2. Make a spreadsheet model, and solve it using the Excel Solver.

3. State the recommendation clearly.

3.7.1 Blending Gasoline A company blends two gasolines from Avalon Fuels and Bonavista Petrol (in- puts) into two commercial products, Extra and Regular gasoline (outputs). For the inputs, the octane ratings, the vapour pressures in kilopascals, and the amounts available in cubic metres (m3) and their prices are known. These are: Input Gasoline Avalon Bonavista Octane Vapour Amount Rating Pressure (kPa) Available (m) 99 38 55,000 82 55 80,000 Buying Price ($ per m3) 520 440 For the Extra and Regular gasolines the requirements are: Selling Output Gasoline Minimum Octane Rating 94 86 Maximum Minimum Vapour Amount Price Pressure (kPa) Required (m) ($ per m2) 40 36,000 540 52 70,000 470 Extra Regular 3.7.1 Blending Gasoline A company blends two gasolines from Avalon Fuels and Bonavista Petrol (in- puts) into two commercial products, Extra and Regular gasoline (outputs). For the inputs, the octane ratings, the vapour pressures in kilopascals, and the amounts available in cubic metres (m3) and their prices are known. These are: Input Gasoline Avalon Bonavista Octane Vapour Amount Rating Pressure (kPa) Available (m) 99 38 55,000 82 55 80,000 Buying Price ($ per m3) 520 440 For the Extra and Regular gasolines the requirements are: Selling Output Gasoline Minimum Octane Rating 94 86 Maximum Minimum Vapour Amount Price Pressure (kPa) Required (m) ($ per m2) 40 36,000 540 52 70,000 470 Extra Regular