Question: A real estate developer is planning to build an office complex. Currently, there are three office sizes under consideration: small, medium, and large. Small offices

A real estate developer is planning to build an
A real estate developer is planning to build an
A real estate developer is planning to build an office complex. Currently, there are three office sizes under consideration: small, medium, and large. Small offices can be rented for $600 per month medium offices can be rented for $750 per month, and large offices can be rented for $1000 per month. Each small office requires 600 square feet, each medium office requires 800 square feet, and each large office requires 1000 square feet. The current plot of land available to the developer is 100,000 square feet. The developer wants to ensure that the office complex has at least 3 units of each office size. Moreover, zoning restrictions limit the total number of offices to 50. Use the Sensitivity Report to answer the following questions: Sensitivity Report Adjustable Cells Final Reduced Objective Allowable Allowable Cell Name Value Cost Coefficient Increase Decrease $B$4 Optimal Values Small 3 0 600 400 1E+30 Optimal Values $C$4 Medium 3 750 250 1E+30 $D$4 Optimal Values Large 44 1000 1E+30 250 Constraints Final Value 48200 3 Shadow Price 0 -400 Constraint Allowable Allowable R.H. Side Increase Decrease 100000 1E+30 51800 41 3 Cell Name $E$8 Square footage SES9 Minimum no. of small Minimum no. of SES10 medium SES11 Minimum no. of large SES12 Total no. of offices 41 3 44 50 -250 0 1000 8 ww 41 51.8 3 1E+30 41 50 A. a. How many small, medium, and large offices should the developer build? b. What is the total optimal monthly revenue? c. Which constraints are binding? Which constraints are non-binding? d. How much square footage would remain unused if the developer implements the optimal solution? A B D

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