Question: Using Excel Solver with detailed instructions. Thank you. Question 1: Sunchem, a manufacturer of printing inks, has five manufacturing plants worldwide. Their locations and capacities

Using Excel Solver with detailed instructions. Thank you.
Question 1: Sunchem, a manufacturer of printing inks, has five manufacturing plants worldwide. Their locations and capacities are shown in Table 5-7 along with the cost of producing 1 ton of ink at each facility. The production costs are in the local currency of the country where the plant is located. The major markets for the inks are North America, South America, Europe, Japan, and the rest of Asia. Demand at each market and transportation costs from each plant to each market in U.S. dollars are shown in Table 5-7. The expected exchange rates are shown in Table 5-8. Management must come up with a production plan for the next year. a. Build a Mixed-Integer Linear Programming model which minimize the total cost based on this problem (Indices, Parameters, Decision Variables, Objective function, Constraints should be also included). 6. How much should each plant produce and which markets should each plant supply? What is the total cost for this production strategy? c. If no plant can run below 50 percent of capacity, which constraints should be added or revised? Then, how much should each plant produce and which markets should each plant supply? What is the total cost for this production strategy? TABLE 5-7 Capacity, Demand, Production, and Transportation Costs for Sunchem North South Capacity Production America Europe Japan America Asia Tons/Year Cost/Ton United States $600 $1,300 $2,000 $1,200 $1,700 $10,000 Germany $1,300 $600 $1,400 $1,400 $1,300 15,000 euro Japan $2,000 $1,400 $2,100 $900 1,800,000 yen $1,200 $1,400 $2,100 $800 $2,100 13,000 real $1,300 $1,000 $2,300 400,000 rupees Demand (tons/year) 185 475 $300 50 Brazil India 200 80 $2,200 $800 270 200 120 190 100 TABLE 5-8 Anticipated Exchange Rates for the Next Year US$ Euro Yen Real Rupee USS 1.000 1.993 107.7 1.78 43.55 Euro 0.502 1 54.07 0.89 21.83 Yen 0.0093 0.0185 1 0.016 0.405 Real 0.562 1.124 60.65 1 24.52 Rupee 0.023 0.046 2.47 0.041 1Step by Step Solution
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