Question: A shipping company is planning on purchasing three different types of boats: A, B and C. The relevant data is summarized in the following table:

 A shipping company is planning on purchasing three different types of

A shipping company is planning on purchasing three different types of boats: A, B and C. The relevant data is summarized in the following table: The objective is to minimize the expansion costs under the following restrictions: - Required returns: $1,800,000. - Required seating capacity: at least 660 . - At most 8 type C boats may be purchased - At most 12 boats in all. a. Formulate the linear program that represents this problem and solve it. For the purposes of this exercise you can assume that is possible to buy fractions of a boat, no need to make the variables integer. b. What is the optimal solution (purchase plan)? How many of each container should be purchased, and what should the resultant cost be? c. Suppose that the requirement of at least 660 for seating capacity is reduced to 650 . Without resolving the problem, can you determine how this would change the optimal solution? What would be the new cost

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