Question: Disclaimer: Do not just copy and paste. There is no sulfur in the problem, only octane. Please read the context. Sunco Oil manufactures three types
Disclaimer: Do not just copy and paste. There is no sulfur in the problem, only octane. Please read the context.
Sunco Oil manufactures three types of gasoline (gas 1, gas 2, and gas 3). Each type of gasoline is produced by blending together three types of crude oil (crude 1, crude 2, and crude 3). The sales price per barrel of gasoline and the purchase price per barrel of crude oil are given in Table 1. Sunco can purchase up to 5000 barrels of each type of crude oil daily.
| Sales price per Barrel | Purchase Price per Barrel | ||
| Gas 1 | $70 | Crude 1 | $45 |
| Gas 2 | $60 | Crude 2 | $35 |
| Gas 3 | $50 | Crude 3 | $25 |
Sunco can purchase up to 5000 barrels of each type of crude oil.
The three types of gasoline differ in their octane ratings. The crude oil blended to form gas 1 must have an average octane rating of at least 10. The crude oil blended to form gas 2 must have an average octane rating of at least 8. The crude oil blended to form gas 3 must have an octane rating of at least 6. The octane rating of the three types of oil are given in Table 2. It costs $4 to transform one barrel of oil into one barrel of gasoline, and Suncos refinery can produce up to 14,000 barrels of gasoline daily.
Table 2. Octane Ratings.
Octane Rating
---------------
| Crude 1 | 12 |
| Crude 2 | 6 |
| Crude 3 | 8 |
Suncos customers require the following amounts of each gasoline: gas 13000 barrels per day; gas 22000 barrels per day; gas 31000 barrels per day. The company considers it an obligation to meet these demands
Develop a linear program for optimum production schedule for the refinery.
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