Question: A linear programming computer package is needed. Edwards Manufacturing Company purchases two component parts from three different suppliers. The suppliers have limited capacity, and no
A linear programming computer package is needed.
Edwards Manufacturing Company purchases two component parts from three different suppliers. The suppliers have limited capacity, and no one supplier can meet all the company's needs. In addition, the suppliers charge different prices for the components. Component price data in price per unit are as follows.
Component Supplier
$ $ $
$ $ $
Each supplier has a limited capacity in terms of the total number of components it can supply. However, as long as Edwards provides sufficient advance orders, each supplier can devote its capacity to component component or any combination of the two components, if the total number of units ordered is within its capacity. Supplier capacities are as follows.
Supplier
Capacity
a
If the Edwards production plan for the next period includes units of component and units of component what purchases do you recommend? That is how many units of each component should be ordered from each supplier?
Component Supplier
units
Component Supplier
units
Component Supplier
units
Component Supplier
units
Component Supplier
units
Component Supplier
units
b
What is the total purchase cost in $ for the components?
$
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