A local retail company is planning to sell two new products. They have acquired Product A at R 55 each and they plan to sell them at a profit of R 100 each. Product B can be acquired at R 30 each and sold at a profit of R100 each. Their total budget for purchasing is R 50 000 per month.

Storage costs are estimated to be R12 each per month for Product A and R 15 each per month for Product B. The storage budget is R 40 000 per month.

Suppliers are capable of supplying a minimum of 150 units and a maximum of 5000 units per week of A. They can also supply a minimum of 200 and a maximum of 1000 units per week of B.

a) Formulate the LP problem (5)

b) Use Ms Excel Solver to find the maximum profit that the company can make considering all the constraints.(20)

c) Use the ISO-profit line method to find the optimum solution(15)

d) Use the corner-point method to find the maximum profit.(10)