Question: Recall the blend example from lecture. The parameters have changed, but the story remains essentially the same. An oil company has 3 components (A, B,

Recall the blend example from lecture. The
Recall the blend example from lecture. The
Recall the blend example from lecture. The
Recall the blend example from lecture. The parameters have changed, but the story remains essentially the same. An oil company has 3 components (A, B, and C) which it mixes together to create 3 grades of motor oil (Super, Premium, and Extra). Let x_jj represent the number of barrels of component i used in grade j, where i is one of (A, B, C), and is one of (S, P. E) for Super Premium, and Extra, respectively. The oil company needs to decide how many barrels of each component to put into each grade of motor oil in order to maximize its profits. If there are 500 barrels of component A, 1000 barrels of component B, and 200 barrels of component C available to the oil company, and they want to produce at least 500 barrels of each grade of motor oil, what is the resource constraint for component A in standard form? OXAS + X AP+XAE - 500 OXAS + X AP + X_AE = 0 O 0.75 x AS +0.25 x_BS +0.25 X_CS >= 0 0.75 x AS - 0.25 x_BS - 0.25 x_CS 0 Recall the blend example from lecture. The parameters have changed, but the story remains essentially the same. An oil company has 3 components (A, B, and C) which it mixes together to create 3 grades of motor oil (Super, Premium, and Extra). Let x_jj represent the number of barrels of component i used in grade j. where i is one of (A, B, C), and j is one of (S.P. E) for Super, Premium, and Extra, respectively. The oil company needs to decide how many barrels of each component to put into each grade of motor oil in order to maximize its profits. Suppose each barrel of component C costs the oil company $75 and a barrel of motor oil of grade Extra sells for $120. If the company's objective is to maximize profits, the coefficient on x CE in the objective function is: $45 5120 $75 $195

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