Question: 5. * In class, we have formulated the following linear program: r.S The holding cost should be subtracted, not added in the objective. Vt=1, ,T

5. * In class, we have formulated the following linear program: r.S The holding cost should be subtracted, not added in the objective. Vt=1, ,T Vt-1,,T max + h-L) t=1 10 = 0 t, St,Xt Vt=1, ,T. One of the underlying assumptions of this model was the any excess demand that cannot be satisfied immediately will be lost (lost sales). Suppose instead that any excess demand that cannot be satisfied immediately will be carried over to the next period (backlogging) and any backordered unit will incur the cost of Sb per period. Develop a linear program for this problem by modifying the above formulation. 5. * In class, we have formulated the following linear program: r.S The holding cost should be subtracted, not added in the objective. Vt=1, ,T Vt-1,,T max + h-L) t=1 10 = 0 t, St,Xt Vt=1, ,T. One of the underlying assumptions of this model was the any excess demand that cannot be satisfied immediately will be lost (lost sales). Suppose instead that any excess demand that cannot be satisfied immediately will be carried over to the next period (backlogging) and any backordered unit will incur the cost of Sb per period. Develop a linear program for this problem by modifying the above formulation
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