Question: Problem 2 ( 4 5 pts ) You ve looking to create a business manufacturing tablets for You want to manufacture low - end and

Problem 2(45 pts)
Youve looking to create a business manufacturing tablets for
You want to
manufacture low-end and high-end tablets, to ensure you reach a maximum of
customers. You expect the demand for types of tablets to be about the same: 900 each
month. You have found two potential locations that could manufacture both types of
tablets for you: Syracuse, NY and Springfield, MA. Each month, the plant in Syracuse
has the capacity to produce at most 800 tablets, while the plant in Springfield could
produce up to 1,000 tablets. At the Syracuse plant, one low-end tablet would require 2
hours of skilled labor; a high-end tablet would also require 2 hours of skilled labor. At the
Springfield plant, one low-end tablet would require 3 hours of skilled labor, while a highend tablet would require 4 hours of skilled labor. Each plant has a capacity of 4,000
hours of skilled labor. You estimate you could make a profit of $600 for each low-end
tablet made in Syracuse, $800 for each high-end tablet made in Syracuse, $1,000 for
each low-end tablet made in Springfield, and $1,300 for each high-end tablet made in
Springfield.
EM333HW2S24
2
a) Formulate a linear program to determine how many of each tablet type should be
produced monthly at each plant to maximize profit. Describe in words what each
constraint written in the LP represents. (10 pts)
b) Apply the Simplex method to the LP found in part a through 3 iterations (i.e.,4
tableaus). Only for the Simplex method (not for Excel Solver): make your demand
constraints at most constraints. (10 pts)
c) Solve the LP from part a using Excel Solver. Provide a screenshot of the solved LP,
as well as of the Excel Solver window (pre-solved).(5 pts)
d) You think you may have overestimated the demand for the low-end tablets. Without
re-solving the LP, if the demand for the low-end tablets was 850, by how much will that
impact the optimal objective value found in part c? Explain and show work (including
screenshots of any reports used).(10 pts)
e) If Syracuse was able to produce 10 tablets more at a higher cost, how much would
you be willing to pay for those extra tablets (without re-solving the LP)? Explain and
show work (including screenshots of any reports used).(10 pts)

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