Answer - In the context of Supply Chain Management

Problem statement -

Healthy Oil, a leading producer of cooking oil, produces oil for home and restaurant cooking. The product has three main ingredients:

- Raw olive oil which costs 5 per kilo

- Saturated fat which costs 1 per kilo

- Additives which costs 2 per kilo

For 1000 kilos of the final product, produced daily, raw olive oil must include exactly 850 kilos of the final product. Moreover, at least 50 kilos must be a mixture of additives and saturated fat. Finally, no more than 20 kilos can be additives due to food health and safety regulations. To minimize costs, how many kilos of each ingredient should be purchased each day? You must formulate the problem only; solving the problem is not required.