Subject:

LP model 1:

LP model 2: (decreased the contraint numbers for Operating Capital and Labor)

For BOTH LP models:

- Using the excel sheets, present the results for the optimal solution.

- Using the Sensitivity Analysis, discuss your findings, draw conclussions, and note any limitations.

Be as detailed as possible in your answers and justify your work.

Topic: The management problem I would like to address that can be represented and solved as a linear programming model is production planning. In this scenario, the objective is to maximize the profit by determining the optimal number of units to be produced for each product type, given certain constraints such as available resources and demand. To show this, I will use the example of a toy manufacturer that produces three types of toys, toy cars, dolls, and barbies. The manufacturer will have a limited amount of plastic and metal available to produce the toys, as well as a limited amount of labor hours. These will be used as my constraints. The manufacturer can sell up to 1,000 toy cars, up to 800 dolls per week, and up to 900 barbies per week. The linear programming can be form lulated as follows: Decision variables: A_CARS = number of cars produced automatically per week M_CARS = number of toy cars produced manually per week A_DOLLS = number of dolls produced automatically per week M_DOLLS = number of dolls produced manually per week A BARBIES = number of barbies produced automatically per week M_BARBIES = number of barbies produced manually per week S_CARS = number of car toys sold per week S_DOLLS = number of dolls sold per week S_BARBIES = number of barbies sold per week M crosoft Excel 16.72 Sensitivity Report W prksheet: [AREC 405 Final Project Excel Draft.xisx]LP model 1 Rilport Created: 5/9/23 8:51:35 AM M crosaft Excel 16.72 Sensitivity Report Wriksheet: [AREC 405 Final Project Excel Draft.xlsx] LP model 2 Ruport Created: 5/9/23 8:54:54 AM