This is done on excel using the solver.

Decision 3: Operations - Materials Blending Richelieu Specialty Paints has begun making paints for the interior design market. The company starts the process by blending four base paint mixes that they buy from major manufacturers. They then add other components to finish off the paint mix to customer specifications. Each of the four base mixes includes pigment, solvent and three additives. When Richelieu blends the four base mixes they want the final product to be within these specifications (these numbers are a percentage of total volume): Pigment: 26% SXS 32% Solvent: 59% SXS 66% Additive 1: 3% SXS 5% Additive 2: 5% Sx 57% Additive 3: 1% SX 53% . . The specifications of each of the four base mixes before they are blended is: Pigment Volume Solvent Volume Additive 1 Volume Additive 2 Volume Additive 3 Volume Unit Cost Base 1 30.0% 48.0% 10.0% 6.0% 6.0% $15 Base 2 25.0% 60.0% 5.0% 5.0% 5.0% $20 Base 3 25.0% 67.5% 0.0% 2.0% 5.5% $25 Base 4 30.0% 55.0% 5.0% 10.0% 0.0% $50 Recommend what percentage of each base mix should be included in the blend to achieve specifications listed, keeping input costs as low as possible. Base mix 2 is purchased overseas and thus the price fluctuates due to currency exchange rates. Comment on how the percentage of each base included in the blend would change if the cost for mix 2 rises to $35 per unit and note what would happen to total cost in this situation. (instructor's note: you do not need units of volume, use the percentages) The general approach for solving each of the issues should be: a. Formulate the linear programming model for the issue algebraically. Group this in three sections: 1) Definition of Decision Variables, 2) Objective Function Equation, 3) Constraints Equations. This should go in the appendix to your memo. (6 marks each issue) b. Set up and solve this problem using Excel. Include screenshots of this in the appendix to the memo or report. (6 marks each issue) c. Provide your answers and recommendations to the Manager of the company (include your recommendations for all issues in single report). (2 marks each issue). See basic structure of the report and memo on pages 5 & 6. d. General organization and formatting - 4 marks. Decision 3: Operations - Materials Blending Richelieu Specialty Paints has begun making paints for the interior design market. The company starts the process by blending four base paint mixes that they buy from major manufacturers. They then add other components to finish off the paint mix to customer specifications. Each of the four base mixes includes pigment, solvent and three additives. When Richelieu blends the four base mixes they want the final product to be within these specifications (these numbers are a percentage of total volume): Pigment: 26% SXS 32% Solvent: 59% SXS 66% Additive 1: 3% SXS 5% Additive 2: 5% Sx 57% Additive 3: 1% SX 53% . . The specifications of each of the four base mixes before they are blended is: Pigment Volume Solvent Volume Additive 1 Volume Additive 2 Volume Additive 3 Volume Unit Cost Base 1 30.0% 48.0% 10.0% 6.0% 6.0% $15 Base 2 25.0% 60.0% 5.0% 5.0% 5.0% $20 Base 3 25.0% 67.5% 0.0% 2.0% 5.5% $25 Base 4 30.0% 55.0% 5.0% 10.0% 0.0% $50 Recommend what percentage of each base mix should be included in the blend to achieve specifications listed, keeping input costs as low as possible. Base mix 2 is purchased overseas and thus the price fluctuates due to currency exchange rates. Comment on how the percentage of each base included in the blend would change if the cost for mix 2 rises to $35 per unit and note what would happen to total cost in this situation. (instructor's note: you do not need units of volume, use the percentages) The general approach for solving each of the issues should be: a. Formulate the linear programming model for the issue algebraically. Group this in three sections: 1) Definition of Decision Variables, 2) Objective Function Equation, 3) Constraints Equations. This should go in the appendix to your memo. (6 marks each issue) b. Set up and solve this problem using Excel. Include screenshots of this in the appendix to the memo or report. (6 marks each issue) c. Provide your answers and recommendations to the Manager of the company (include your recommendations for all issues in single report). (2 marks each issue). See basic structure of the report and memo on pages 5 & 6. d. General organization and formatting - 4 marks