What is the optimal cost?

Based on the solution to the sanitizer problem, which constraints are binding (check all that apply):

		The total units produced
		Available ethyl alcohol.
		Minimimum cost
		Labor available
		The amount of unscented hand sanitizer produced
		All of the above

1. Based on the solution from the sanitizer problem, which of the following could occur if the available labor hours was increased?

   	a.	cost increase
   	b.	cost stays the same
   	c.	cost decreases
   	d.	both a and b
   	e.	both b and c
   	f.	can not be determined

Your company has decided to produce hand sanitizer to help with the demand caused by the pandemic. There are three types of sanitizer that can be produced: regular, unscented, and extra strength. A Linear Programming model was created to determine how many of each type of sanitizer is optimal to produce. The mission is to provide more products that are needed now while keeping cost low. Therefore, the objective is to minimize cost rather than maximize profit. There are 175 gallons of high quality ethyl plant based alcohol and 1,247 hours of labor available. We are committed to producing at least 50 units of hand sanitizer. To make one unit of regular hand sanitizer, 4 gallons of ethyl alcohol and 20 hours of labor are required. The total cost to produce one unit of regular hand sanitizer is $150. The requirements and cost for each type of hand sanitizer are given in the screen shot below along with the correct optimal solution followed by the sensitivity report. Use this information to answer the next 4 questions. You do not need to create any new output to answer these questions. A B D E F H Regular 4 20 $150 Unscented 3.25 25 $85 Extra Strength 5 22 $120 Used 164.25