"Operation Research" for specific subject

LINEAR PROGRAMMING: GRAPHICAL APRROACH EXERCISE S-1 Solve the following problems graphically. 1. A company produces and sells two different products, A and B. The selling price and incremental cost information is on the following table. Selling price Incremental cost Incremental Profit Product A P60 30 P Product B P40 10 P The two products are produced in a common production process and are sold in two different markets. The production process has a capacity of 30,000 labor hours. Each unit of A takes 3 hours to produce and each unit of B takes 1 hour. The market has been surveyed and the marketing manager feels that the maximum number of units of A that can be sold is 8,000, the maximum for B is 12,000 units. How many units of each product should the company produce and sell in order to maximize profit? 2. a. Suppose in problem #1, the maximum number of units of product A that can be sold is actually 9,000 (rather than 8,000), What effect does this have on the solution? Make the graph.. b. What is the effect on the profit? How much is the profit? c. 3. . Suppose again that in problem #1, the maximum number of units of product B that can be sold is actually 13,000 (and not 12,000), What effect does this have on the solution? Support your answer by drawing the graph. b. What is the effect on the profit? How much is the profit? C