Question: do the exercise in excel or in GAMS software. do not copy it from another job PROBLEM 2. A manufacturer of cowboy boots produces and


do the exercise in excel or in GAMS software. do not copy it from another jobPROBLEM 2. A manufacturer of cowboy boots produces and sells through intermediaries and not directly to the public. The factory has production costs that vary from month to month due to leather prices and certain market conditions for this product. Due to the low cost of handling and storage, which is $ 1.00 per month per pair of boots, and fluctuations in costs, the factory finds it convenient to manufacture excess pairs of boots in a few months to sell in later months. Managers have forecast demand and costs for the next several months as shown in the table below. The company wants to schedule production to minimize total production costs and inventory management. The maximum boot manufacture in any month is 200,000 pairs, there is no restriction on storage. The problem should give as a result, the monthly production for the next 7 months, as well as the inventory that will be had in each of the months and the satisfied or covered demand. Project Cost Month Forecast Demand (Per pair) 1 150,000 36.00 2 110,000 42.00 3 180,000 38.00 4 100,000 40.00 5 200,000 35.00 6 180,000 39.00 7 110,000 37.00
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