A local Gun Store, Clark’s Firearms, has a 10,000 sq ft showroom to display 3 different types of firearms: Handguns Shotguns Rifles Data is displayed in the following table. Items Handguns Shotguns Rifles Annual Demand (In Guns) 1000 750 1350 Cost per Gun $400 $250 $600 The cost replenish all firearms is $1,100,000. The space consumed by each gun is listed below. Type of Gun Space Required per Gun Handgun 0.5 sq ft Shotgun 2 sq ft Rifles 2 sq ft The annual holding costs is 25%. What are the optimal quantities that should be purchased of each gun? Determine upper and lower bounds on the optimal values of order quantities in this case. Test different values of the LaGrange multiplier to find the optimal values of order quantities.

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Answer Date Anguent Clarks firearms 3 different firearms Handgury Shotguns Rifles ... View the full answer