Question: Please formulate linear programming models. DO NOT ATTEMPT TO SOLVE. Question 1 (20 points) A manufacturing firm producestwo products,AandB, overtwo months.The products share the same
Please formulate linear programming models. DO NOT ATTEMPT TO SOLVE.
Question 1 (20 points)
A manufacturing firm producestwo products,AandB, overtwo months.The products share the same equipment, which can operateup to 400 hours per month.Products can beproduced in either month and stored for later sale.Unsold products at the end of Month 1 can becarried to Month 2at a holding cost.
The table below describes the requirements and profits:
| Product | Monthly Demand (units) | Processing Time (hr/unit) | Revenue (per unit sold) | Holding Cost (per unit carried to next month) |
|---|---|---|---|---|
| A | 150 (Month 1), 200 (Month 2) | 2 | $40 | $5 |
| B | 100 (Month 1), 150 (Month 2) | 3 | $60 | $8 |
At the start of Month 1, there is no inventory, and all demand must be met by production in Month 1 or Month 2. There should beno remaining inventory after Month 2.
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