A company manufactures (over the next six months) one food by re-fining various raw oils, which come in vegetable and non-vegetable oil - each with a given "hardness". The company can buy oils in the different months. The storage capacity is not a limitation but costs 5ct/ton. The refining capacity, however, is limited at 200 tons of veg oil and 250 tons of non-veg oils. The"hardness" of the food must be in certain given ranges.

How many tons of each oil should the company buy, store, and use in each period in order to maximize profit by selling the food at a given price?

Answer rating: 100% (QA)

To determine the optimal strategy for buying storing and using oils over the next six months to maxi... View the full answer