Question: Refer to the sensitivity report for a problem shown in the figure 1 below: a)Interpret the ranges of optimality for the objective function coefficients. b)Suppose
Refer to the sensitivity report for a problem shown in the figure 1 below:
a)Interpret the ranges of optimality for the objective function coefficients.
b)Suppose that the manufacturing cost increases to $11.20 per case for model A. What is the new optimal solution?
c)Suppose that the manufacturing cost increases to $11.20 per case for model A and the manufacturing cost for model B decreases to $5 per unit. Would the optimal solution change?
Figure 1: Sensitivity Report
Variable Cells
Model
Variable
Name
Final Value
Reduced Cost
Objective Coefficient
Allowable Increase
Allowable Decrease
AM
Model A Manufactured
100.000
0.000
10.000
1.750
1E+30
BM
Model B Manufactured
60.000
0.000
6.000
3.000
2.333
AP
Model A Purchased
0.000
1.750
14.000
1E+30
1.750
BP
Model B
Purchased
90.000
0.000
9.000
2.333
3.000
Constraint
Constraint number
Name
Final Value
Shadow Price
Constraint
R.H Side
Allowable Increase
Allowable Decrease
1
Demand for Model A
100.000
12.250
100.000
11.429
100.000
2
Demand for Model B
150.000
9.000
150.000
1E+30
90.000
3
Injection molding time
580.000
0.000
600.000
1E+30
20.000
4
Assembly time
1080.000
-0.375
1080.000
53.333
480.000
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