Question: please help with part b 2) (40 points) Motiva Enterprises is a refinery company located in Connecticut. The refinery can process up to 8,000 barrels

please help with part b
please help with part b 2) (40 points) Motiva
2) (40 points) Motiva Enterprises is a refinery company located in Connecticut. The refinery can process up to 8,000 barrels of crude oil per day into two types of gasoline (Regular and Premium). Regular gasoline is produced by blending crude oil 2 and crude oil 3 (Crude 2, Crude 3) and Premium gasoline needs to be produced by Crude oil 1 and 2 (Crude 1, Crude 2). The price of each barrel of each type of gasoline and the purchase price of each barrel of crude oil is given in the following table. It also costs $12 to transform one barrel of crude oil into one barrel of gasoline. Gasoline Sales Price per Barrel (S) Purchase Price per Crude oil Barrel (5) Regular 100 Crude 1 Premium 160 Crude 2 70 Crude 3 40 80 The gasolines differ in their octane and sulfur rate. The crude oil blended to form Premium gasoline must have at most 2% sulfur. The crude oil blended to form Regular gasoline must have an average octane rating of at least 16 and contain at most 5% sulfur. The octane rating and the sulfur content of the crude oils are given in the following table. Crude oil Octane Rating Sulfur Content (%) Crude 1 28 1 Crude 2 Crude 3 18 Motiva Enterprises predicted its demand to be 3000 barrels of Regular gasoline per day and 2000 barrels of Premium gasoline per day and has considered to meet these demands. a) (20 points) Formulate a linear programming model that will enable Motiva to maximize its daily profits. b) (20 points) Solve the linear program using the IBM ILOG CPLEX Optimization Studio

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related General Management Questions!