Problem #2

A real estate developer is planning to build an office complex. There are three office sizes currently under consideration: small, medium, and large. Small offices can be rented for $600 per month, medium offices can be rented for $750 per month, and large offices can be rented for $1,000 per month. Each small office requires 600 square feet, each medium office requires 800 square feet, and each large office requires 1,000 square feet. The current plot of land available to the developer is 100,000 square feet. The developer wants to ensure that the office complex has at least 3 units of each office size. Moreover, zoning restrictions limit the total number of offices to 50. The developer solved this problem such that he could accrue maximum rent from the small, medium, and large offices he builds. Your job is to analyze this sensitivity report and answer the following questions:

Sensitivity Report Adjustable Cells Final Reduced Objective Allowable Allowable Cell Name Value Cost Coefficient Increase Decrease $B$4 Optimal Values Small 3 0 600 400 1E+30 $C$4 Optimal Values Medium 3 750 250 1E+30 $D$4 Optimal Values Large 44 O 1000 1E+30 250Constraints Final Shadow Constraint Allowable Allowable Cell Name Value Price R.H. Side Increase Decrease $E$8 Square footage 48200 0 100000 1E+30 51800 SE$9 Minimum no. of small 3 -400 3 41 3 $E$10 Minimum no. of medium 3 -250 3 41 3 $E$11 Minimum no. of large 44 0 3 41 1E+30 $E$12 Total no. of offices 50 1000 50 51.8 41