Days Open 6 days per week profit

Daily Sales 50 hot dog per day 350

10
20
additional cost 200 per week 30
start up cost 500 40
variable cost 0.5 per hot dog 50
total weekly cost 850 60
70
Price 4 per hot dog 80
total weekly revenue 1200 90
100
Weekly profjt 350 110
120
130
140
150
cost revenue
650 1200
240
480
720
960
1200
1440
1680
1920
2160
2400
2640
2880
3120
3360
3600
no of copier rented 4
max copies per year 400000

daily demand 775

annual demand 282875

copies made per year 282875

cost
fixed cost 400 per month
variable cost
copier rental 5000 per copier per year
operaation cost 0.03 per copy

Total annual cost 33286.25 per year

revenue 0.1 per copy

total annual revenue 28287.5 per year

annual profit -4998.75 per year

-4998.75 500 100 1500 2000
1
2
3
4
5
 5 4420000 $ 40.00 $ 45.00
50 30
250 35
40
800 45
90% 50
720 55

5500000
1000
5750000

55
1.5
10170000

4420000
$ 50.00 $ 55.00 $ 60.00 $ 65.00
 Cash Flows:
End of Year Groos Margion (M)
Development cost 9.3 million 1 $ 1.20
lifetime 20 years 2 $ 1.32
Year 1 Margin 1.2 million 3 $ 1.45
Inc through year 8 4 $ 1.60
Rate of increase 10% 5 $ 1.76
Rate of decrease 5% 6 $ 1.93
Discount Rate 12% 7 $ 2.13
8 $ 2.02
Present Value $11.85 9 $ 1.92
10 $ 1.82
11 $ 1.73
12 $ 1.64
13 $ 1.56
14 $ 1.48
15 $ 1.41
16 $ 1.34
17 $ 1.27
18 $ 1.21
19 $ 1.15
20 $ 1.09
=IF(G4<8,H3*(1+$D$7),H3*(1-$D$8))
=IF(G5<8,H4*(1+$D$7),H4*(1-$D$8))
=IF(G6<8,H5*(1+$D$7),H5*(1-$D$8))
=IF(G7<8,H6*(1+$D$7),H6*(1-$D$8))
=IF(G8<8,H7*(1+$D$7),H7*(1-$D$8))
=IF(G9<8,H8*(1+$D$7),H8*(1-$D$8))
=IF(G10<8,H9*(1+$D$7),H9*(1-$D$8))
=IF(G11<8,H10*(1+$D$7),H10*(1-$D$8))
=IF(G12<8,H11*(1+$D$7),H11*(1-$D$8))
=IF(G13<8,H12*(1+$D$7),H12*(1-$D$8))
=IF(G14<8,H13*(1+$D$7),H13*(1-$D$8))
=IF(G15<8,H14*(1+$D$7),H14*(1-$D$8))
=IF(G16<8,H15*(1+$D$7),H15*(1-$D$8))
=IF(G17<8,H16*(1+$D$7),H16*(1-$D$8))
=IF(G18<8,H17*(1+$D$7),H17*(1-$D$8))
=IF(G19<8,H18*(1+$D$7),H18*(1-$D$8))
=IF(G20<8,H19*(1+$D$7),H19*(1-$D$8))
=IF(G21<8,H20*(1+$D$7),H20*(1-$D$8))
=IF(G22<8,H21*(1+$D$7),H21*(1-$D$8))
1 30000
2 65000
3 80000
4 75000
5 55000

150000
15%

$198,063.81

$48,063.81
 Month Price Demand
1 450 45
2 300 103
3 440 49
4 360 86
5 290 125
6 450 52
7 340 87
8 370 68
9 500 45
10 490 44
11 430 58
12 390 68

Linear: Power Exponential

b 211.31 b -1.908 a
m -0.3546 a 5871064 b

Price Linear Power Exponential Actual Demand Linear

450 $51.74 $50.86 $49.17 45 14.98%
300 $104.93 $110.25 $104.09 103 1.87%
440 $55.29 $53.09 $51.69 49 12.83%
360 $83.65 $77.86 $77.11 86 2.73%
290 $108.48 $117.61 $109.43 125 13.22%
450 $51.74 $50.86 $49.17 52 0.50%
340 $90.75 $86.83 $85.22 87 4.31%
370 $80.11 $73.89 $73.35 68 17.81%
500 $34.01 $41.60 $38.29 45 24.42%
490 $37.56 $43.23 $40.26 44 14.65%
430 $58.83 $55.47 $54.34 58 1.43%
390 $73.02 $66.83 $66.37 68 7.38%
9.68%

unit cost 300 per set of clubs

sale price 300 per set of clubs

demand 110.25 <<<< from power model

11024.76803705 sale price
cost total 3307430.4111
revenue 3307430.4111
profit 0.0000

price 0.0000 price 0.0000

300 300 0
310 310 103561.588369
320 320 194948.838332
330 330 275748.698973
340 340 347308.196028
350 350 410775.932611
360 360 467135.522315
370 370 517232.689845
380 380 561797.366763
390 390 601461.805782
400 400 636775.508256
410 410 668217.586051
420 420 696207.046498
430 430 721111.38726
440 440 743253.809028
450 450 762919.292549
 Price vs Demand
140

120
f(x) = 466.510119229519 exp( − 0.00491060734945113 x )
100

80

Demand
60

40

20

0
250 300 350 400 450 500
Price

466.51
-0.005

Absolute Percent Error

Power Exponential
13.03% 9.27%
7.04% 1.06%
8.35% 5.49%
9.47% 10.33%
5.91% 12.46%
2.19% 5.44%
0.20% 2.04%
8.66% 7.87%
7.56% 14.90%
1.74% 8.51%
4.36% 6.31%
1.72% 2.39%
5.85% 7.17%

0.0000 150 160 170 180 190 200 210 220

300
310
320
330
340
350
360
370
380
390
400
410
420
430
440
450
460
470
480
490
500
510
520
530
540
550
560
570
580
590
600
mand

− 0.00491060734945113 x )

0 450 500 550

230 240 250 260 270 280 290 300 unit cost
 Month Price Demand
1 450 45
2 300 103
3 440 49
4 360 86
5 290 125
6 450 52
7 340 87
8 370 68
9 500 45
10 490 44
11 430 58
12 390 68

Linear: Power Exponential

b 211.31 b -1.908 a
m -0.3546 a 5871064 b

Price Linear Power Exponential Actual Demand Linear

450 $51.74 $50.86 $49.17 45 14.98%
300 $104.93 $110.25 $104.09 103 1.87%
440 $55.29 $53.09 $51.69 49 12.83%
360 $83.65 $77.86 $77.11 86 2.73%
290 $108.48 $117.61 $109.43 125 13.22%
450 $51.74 $50.86 $49.17 52 0.50%
340 $90.75 $86.83 $85.22 87 4.31%
370 $80.11 $73.89 $73.35 68 17.81%
500 $34.01 $41.60 $38.29 45 24.42%
490 $37.56 $43.23 $40.26 44 14.65%
430 $58.83 $55.47 $54.34 58 1.43%
390 $73.02 $66.83 $66.37 68 7.38%
9.68%

unit cost 200 per set of clubs

sale price 500 per set of clubs

demand 38.29 <<<< from power model

3829.347270804 sale price
cost total 765869.4542
revenue 1914673.6354
profit 1148804.1812

price 1148804.1812 price 1148804.1812

300 300 0
310 310 103561.588369
320 320 194948.838332
330 330 275748.698973
340 340 347308.196028
350 350 410775.932611
360 360 467135.522315
370 370 517232.689845
380 380 561797.366763
390 390 601461.805782
400 400 636775.508256
410 410 668217.586051
420 420 696207.046498
430 430 721111.38726
440 440 743253.809028
450 450 762919.292549
 Price vs Demand
140

120
f(x) = 466.510119229519 exp( − 0.00491060734945113 x )
100

80

Demand
60

40

20

0
250 300 350 400 450 500
Price

466.51
-0.005

Absolute Percent Error

Power Exponential
13.03% 9.27%
7.04% 1.06%
8.35% 5.49%
9.47% 10.33%
5.91% 12.46%
2.19% 5.44%
0.20% 2.04%
8.66% 7.87%
7.56% 14.90%
1.74% 8.51%
4.36% 6.31%
1.72% 2.39%
5.85% 7.17%

1148804.1812 150 160 170 180 190 200 210 220

300
310
320
330
340
350
360
370
380
390
400
410
420
430
440
450
460
470
480
490
500
510
520
530
540
550
560
570
580
590
600
mand

− 0.00491060734945113 x )

0 450 500 550

230 240 250 260 270 280 290 300 unit cost
 Error
Year Revenue Expo Power Expo Power
2017 1 218.6 214.07807824 170.97 2.07% 19.72% expo
2018 2 435 442.41165733 575.5109 1.70% 30.60% a
2019 3 915 914.28359294 1170.596 0.08% 28.01% b
2020 4 1825.9 1889.4495081 1937.257 3.48% 2.62%
2021 5 4021.8 3904.7178263 2863.428 2.91% 25.89% power
2022 6 3582.1 8069.4515718 3940.402 125.27% 115.27% a
2023 7 16676.249493 5161.442 b
103.59
0.7259

170.97
1.7511

4500
Chart Title
4000
3500
3000
2500 f(x) = 170.969535931451 x^1.75110482050666

2000
1500
1000
500
0
0.5 1 1.5 2 2.5 3 3.5 4 4.5 5 5.5
 Radio Television
Variables: 175 10 no
3000 7000 people reach

Total Number of People Reach 595000

Constraint Table Radio Television LHS Sign RHS

money Budget $ 200.00 $ 500.00 $ 40,000.00 <= $ 40,000.00 =SUMPRODUCT(C3:D3,C9:D9)
no at least 10 radio 1 175 >= 10 =SUMPRODUCT(C3:D3,C10:D10)
no at least 10 TV 1 10 >= 10 =SUMPRODUCT(C3:D3,C11:D11)
no R >= T 1 -1 165 >= 0 =SUMPRODUCT(C3:D3,C12:D12)
=SUMPRODUCT(C3:D3,C9:D9)
=SUMPRODUCT(C3:D3,C10:D10)
=SUMPRODUCT(C3:D3,C11:D11)
=SUMPRODUCT(C3:D3,C12:D12)
 X Y
Variable 30 60
Profit per unit 5 6
150 360
Objective Total Profit 510

Contraint Sign LHS RHS

2 1 120 <= 120
2 3 240 <= 240
 X Y
Variable 30 60
Profit per unit 7 6
210 360
Objective Total Profit 570

Contraint Sign LHS RHS

2 1 120 <= 120
2 3 240 <= 240
 X Y
Variable 0 80
Profit per unit 3 6
0 480
Objective Total Profit 480

Contraint Sign LHS RHS

2 1 80 <= 120
2 3 240 <= 240
 Basic XP
Variable 560 1200
Sale 300 450
Revenue 708000

Component Cost 150 225

Total Component Cost 354000

Assembly Testing
Labour cost 11 15

Basic XP
Assembly Hour 2800 7200
Testing Hour 560 2400

Assembly Hr Testing Hr
Total Hr 10000 2960

Total Labour Cost 154400

Total Cost 508400

Objective Total Profit 199600

Constraint LHS Sign RHS

1 0 560 <= 600
0 1 1200 <= 1200
1 0 10000 <= 10000
0 1 2960 <= 3000
 Bench Table
variable 260 35

Profit 12 20
Total Profit 3820

labor hr 4 6 1250

material 9 36 3600

constraint LHS Sign RHS

4 6 1250 <= 1250
9 36 3600 <= 3600
 X1 X2 X3 X4 X5
Variables $ 5,000.00 $ - $ - $ 17,500.00 $ 2,500.00
5.30% 6.80% 4.90% 8.40% 11.80%

Objective (max)
Rate of Return $ 2,030.00

Constraints LHS
Budget 1 1 1 1 1 25000
Muni 2% 1 5000
40% in tech 1 1 1 17500
no more 50% in high risk -50% 1 0
Sign RHS
<= 25000
>= 5000
>= 10000
<= 0
 Diet Requirement
(Ingredients)

E
Cost/lb

Oat Enriched Grain Mineral Product

Variable .250 lb 4.500 lb .000 lb
$ 0.09 $ 0.12 $ 0.18

Objective Minimize Cost $ 0.56

A 3 units/lb 4 units/lb 2 units/lb

B 1 units/lb 1 units/lb 1 units/lb
C 4 units/lb 2 units/lb 6 units/lb
D 1 units/lb 2 units/lb 2 units/lb
E 1 units/lb 2 units/lb 1 units/lb
1 1 1
 Diet
Minimum
Oat Enriched Mineral Requirem
Daily
Product Grain Product ent A B C D
Requirem
(units/lb) (units/lb) (units/lb) (Ingredien
ent (units)
ts)
Oat
3 4 2 5 Product 3 0.5 4 1
(units/lb)
Enriched
0.5 1 1 2 Grain 4 1 2 1.5
(units/lb)
Mineral
4 2 6 10 Product 2 1 6 2
(units/lb)

Minimum
Daily
1 1.5 2 7 5 2 10 7
Requirem
ent (units)

0.5 1.5 0.5 6

$0.09 $0.12 $0.18

LHS Sign RHS

19 units >= 5 units
5 units >= 2 units
10 units >= 10 units
7 units >= 7 units
7 units >= 6 units
4.75 <= 6.000 lb
E

0.5

1.5

0.5

6
 Distance to Kyoko Distance to Devon Distance to Manny
Sector
HS (in Sector B) HS (in Sector C) HS (in Sector E)
A 5 8 6
B 0 4 12
C 4 0 7
D 7 2 5
E 12 7 0

Variables: AB AC AE
400 0 300
5 8 6

Objective (min)
student bus miles 5400

Constraints
900 in schoool B 1
900 in school C 1
900 in school E 1
700 in A 1 1 1
500 in B
100 in C
800 in D
400 in E
Number of Students

700
500
100
800
400

BB BC BE CB CC CE DB DC DE
500 0 0 0 100 0 0 800 0
0 4 12 4 0 7 7 2 5

1 1 1
1 1 1
1 1 1

1 1 1
1 1 1
1 1 1
EB EC EE
0 0 400
12 7 0

LHS Sign RHS

1 900 <= 900
1 900 <= 900
1 700 <= 900
700 = 700
500 = 500
100 = 100
800 = 800
1 1 1 400 = 400
 Year 1 Year 2 Year 3 Year 4 Year 5
60 70 50 65 75

fire hire salary

2000 4000 10000
constraint

Existing Fire Hire Total

Year 1 50 0 10 60
Year 2 60 0 10 70
Year 3 70 20 0 90
Year 4 90 0 15 105
Year 5 105 0 10 115
Total 20 45 440

Objective Minimize Cost 4620000

constriant LHS Sign RHS

Year 1 1 0 1 60 >= 60
Year 2 1 0 1 70 >= 70
Year 3 1 1 0 90 >= 50
Year 4 1 0 1 105 >= 65
Year 5 1 0 1 115 >= 75
Year 1 60
Year 2 70
Year 3 50
Year 4 65
Year 5 75

LHS Sign RHS

1 60 >= 60
1 70 >= 70
1 50 >= 50
1 65 >= 65
1 75 >= 75
 Year 1 Year 2 Year 3 Year 4 Year 5
60 70 50 65 75

fire hire salary

2000 4000 10000
constraint

Existing Fire Hire Total

Year 1 50 0 10 60
Year 2 60 0 10 70
Year 3 70 20 0 50
Year 4 50 0 15 65
Year 5 65 0 10 75
Total 20 45 320

Objective Minimize Cost 3420000.00

constriant LHS Sign RHS

Year 1 1 0 1 60 >= 60
Year 2 1 0 1 70 >= 70
Year 3 1 -1 0 50 >= 50
Year 4 1 0 1 65 >= 65
Year 5 1 0 1 75 >= 75
Year 1 60
Year 2 70
Year 3 50
Year 4 65
Year 5 75

LHS Sign RHS

1 60 >= 60
1 70 >= 70
1 50 >= 50
1 65 >= 65
1 75 >= 75
 Year 1 Year 2 Year 3 Year 4 Year 5
60 70 50 65 75

fire hire salary

2000 4000 10000
constraint

Existing Fire Hire Total

Year 1 50 0 10 60
Year 2 60 0 10 70
Year 3 70 20 0 50
Year 4 50 0 15 65
Year 5 65 0 10 75
Total 20 45 320

Objective Minimize Cost 3420000.00

constriant LHS Sign RHS

Year 1 1 0 1 60 >= 60
Year 2 1 0 1 70 >= 70
Year 3 1 -1 0 50 >= 50
Year 4 1 0 1 65 >= 65
Year 5 1 0 1 75 >= 75
Year 1 60
Year 2 70
Year 3 50
Year 4 65
Year 5 75

LHS Sign RHS

1 60 >= 60
1 70 >= 70
1 50 >= 50
1 65 >= 65
1 75 >= 75
 Data Table Factory/Brand Albany Boston Cleveland Output
Des Moine 5 4 3 100
Evanston 8 4 3 300
Ft Lauderdale 9 7 5 300
Demand 300 200 200

Shipment Table Factory/Brand Albany Boston Cleveland Output

Des Moine 20 20 20 60 $ 240.00
Evanston 30 30 30 90 $ 450.00
Ft Lauderdale 40 40 40 120 $ 840.00
Demand 90 90 90 $ 1,530.00

Objective to minimize 1530

Albany Boston Cleveland LHS Sign RHS

constraint Des Moine 1 1 1 60 = 100
Evanston 1 1 1 90 = 300
Ft Lauderdale 1 1 1 120 = 300
Demand
 Data Table Factory/Brand Albany Boston Cleveland Output
Des Moine 5 4 3 100
Evanston 8 4 3 300
Ft Lauderdale 9 7 5 300
Demand 300 200 200

Shipment Table Factory/Brand Albany Boston Cleveland Output

Des Moine 100 0 0 100 $ 500.00
Evanston 0 200 100 300 $ 1,100.00
Ft Lauderdale 200 0 100 300 $ 2,300.00
Demand 300 200 200 $ 3,900.00

Objective to minimize 3900

 Project A Project B Project C Capacity
Data Table Plant 1 $10 $4 $9 80
Plant 2 $12 $6 $8 40
Plant 3 $8 $9 $5 30
Requirements 50 40 60

Project A Project B Project C Capacity

Shipping Table Plant 1 10 20 30 60
Plant 2 5 10 20 35
Plant 3 5 10 20 35
Requirements 20 40 70

Objective $ 960.00
To minimize
 Project A Project B Project C Capacity
Data Table Plant 1 $10 $4 $9 80
Plant 2 $12 $6 $8 40
Plant 3 $8 $9 $5 30
Requirements 50 40 60

Project A Project B Project C Capacity

Shipping Table Plant 1 40 40 0 80
Plant 2 0 0 40 40
Plant 3 10 0 20 30
Requirements 50 40 60

Objective $ 1,060.00
To minimize
 Project A Project B Project C Capacity
Data Table Plant 1 $10 $4 $9 80
Plant 2 $12 $6 $8 40
Plant 3 $8 $9 $5 30
Requirements 50 40 60

Project A Project B Project C Capacity

Shipping Table Plant 1 10 20 30 60
Plant 2 5 10 20 35
Plant 3 5 10 20 35
Requirements 20 40 70

Objective $ 960.00
To minimize

Objective
 Plant Project Unit Cost Shipment
1A $10 2
1B $4 3
1C $9 4
2A $12 5
2B $6 6
2C $8 7
3A $8 8
3B $9 9
3C $5 10

Supply Constraint

Plant Outflow Sign Capacity

1 80 <= 9
2 40 <= 18
3 30 <= 27

Demand Constraint

Project Inflow Sign Demand

A 50 = 50
B 40 = 40
C 60 = 60

To Minimize 415
 Project A Project B Project C Capacity
Data Table Plant 1 $10 $4 $9 80
Plant 2 $12 $6 $8 40
Plant 3 $8 $9 $5 30
Requirements 50 40 60

Project A Project B Project C Capacity

Shipping Table Plant 1 10 20 30 60
Plant 2 5 10 20 35
Plant 3 5 10 20 35
Requirements 20 40 70

Objective $ 960.00
To minimize

Objective
 Plant Project Unit Cost Shipment
1A $10 40
1B $4 40
1C $9 0
2A $12 0
2B $6 0
2C $8 40
3A $8 10
3B $9 0
3C $5 20

Supply Constraint

Plant Outflow Sign Capacity

1 80 <= 80
2 40 <= 40
3 30 <= 30

Demand Constraint

Project Inflow Sign Demand

A 50 = 50
B 40 = 40
C 60 = 60

To Minimize 1060
 Omaha Miami Dallas New York
Jones $800 $1,100 $1,200 $1,000 1
Smith $500 $1,600 $1,300 $800 1
Wilson $500 $1,000 $2,300 $1,500 1
1 1 1 1

Omaha Miami Dallas New York Total Sign "Each candidate gets assigned an office"
Jones 1 0 1 = 1
Smith 1 1 = 1
Wilson 1 1 = 1
Total: 1 1 1 0
<= <= <= <=
1 1 1 1
Objective:
Relocation Cost 4700
didate gets assigned an office"
 Omaha Miami Dallas New York
Jones $800 $1,100 $1,200 $1,000 1
Smith $500 $1,600 $1,300 $800 1
Wilson $500 $1,000 $2,300 $1,500 1
1 1 1 1

Omaha Miami Dallas New York Total Sign "Each candidate gets assigned an offic
Jones 0 1 0 0 1 = 1
Smith 0 0 0 1 1 = 1
Wilson 1 0 0 0 1 = 1
Total: 1 1 0 1
<= <= <= <=
1 1 1 1
Objective:
Relocation Cost $ 2,400.00
didate gets assigned an office"
 Kansas City Chicago Detroit Toronto
Seattle 1500 1730 1940 2070
Arlington 460 810 1020 1270
Oakland 1500 1850 2080
Baltimore 960 610 400 330

Kansas City Chicago Detroit Toronto LHS Sign

Seattle 0 0 1 0 1 =
Arlington 0 1 0 0 1 =
Oakland 1 0 0 0 1 =
Baltimore 0 0 0 1 1 =
1 1 1 1
= = = =
1 1 1 1

distance to minimize 4580

RHS
1
1
1
1
 Kansas City Chicago Detroit Toronto
Seattle 1500 1730 1940 2070
Arlington 460 810 1020 1270
Oakland 1500 1850 2080 x
Baltimore 960 610 400 330

Kansas City Chicago Detroit Toronto LHS Sign

Seattle 0 0 1 0 1 =
Arlington 0 1 0 0 1 =
Oakland 1 0 0 0 1 =
Baltimore 0 0 0 1 1 =
1 1 1 1
= = = =
1 1 1 1

distance to minize 4580

RHS
1
1
1
1
 Managem
Statistics Finance Economics
ent
Bain 80 85 95 40
Carey 85 30 75 65
Dio 90 55 80 70
Powell 55 80 65 50

Managem
Statistics Finance Economics LHS Sign RHS
ent
Bain 0 0 1 0 1 = 1
Carey 1 0 0 0 1 = 1
Dio 0 0 0 1 1 = 1
Powell 0 1 0 0 1 = 1
1 1 1 1
= = = =
1 1 1 1

Objective to maximize 330

 Factory/Store A B C Supply
1 $ 22.00 $ 14.00 $ 30.00 100
2 $ 16.00 $ 20.00 $ 24.00 120
Demand 80 60 70

Factory/Store A B C Supply
1 20 30 50 100
2 40 40 40 120
Demand 60 70 90

transporation cost 4760

production cost factory 1 $ 6.00
factory 2 $ 6.25
1350

Total Cost 6110

production cost factory 1 $ 6.00
factory 2 $ 6.25
 Factory/Store A B C Supply
1 $ 22.00 $ 14.00 $ 30.00 100
2 $ 16.00 $ 20.00 $ 24.00 120
Demand 80 60 70

Factory/Store A B C Supply
1 30 60 0 90
2 50 0 70 120
Demand 80 60 70

transporation cost 3980

production cost factory 1 $ 6.00
factory 2 $ 6.25
1290

Total Cost 5270

production cost factory 1 $ 6.00
factory 2 $ 6.25
Closing Plant No. of Workers to Transfer
To:
1 60
2 105 From: A B C
3 70 1 5 8 6
Total 235 2 10 9 12
3 7 6 10

Open Plant No. of Open Positions

To:
A 45
B 90 From: A B C
C 35 1 20 20 20
Total 170 2 10 20 90
3 20 20 30
50 60 140
= = =
45 90 35

Objective To Maximi Productivity

LHS Sign RHS
60 <= 60
120 <= 105
70 <= 70

2300
Closing Plant No. of Workers to Transfer
To:
1 60
2 105 From: A B C
3 70 1 5 8 6
Total 235 2 10 9 12
3 7 6 10

Open Plant No. of Open Positions

To:
A 45
B 90 From: A B C
C 35 1 0 60 0
Total 170 2 45 30 30
3 0 0 5
45 90 35
= = =
45 90 35

Objective To Maximi Productivity

 I come from the construction industry and therefore, I would like to give

LHS Sign RHS

60 <= 60
105 <= 105
5 <= 70

1610
therefore, I would like to give an example similar to the concrete plant exercise described in this module. Our company is undertaking fiv
ur company is undertaking five new construction projects - Project A, B, C, D and E at different locations. A certain number of bricks have t
ertain number of bricks have to be delivered to the new projects from brick factory 1, 2 and 3. Each brick factor has a fixed production rat
ctor has a fixed production rate per day respectively. Each project has a different demand for bricks per day.
 variable large poster small poster
1 1
$ 5.00 $ 7.00

to maximize profit $ 12.00

LHS Sign RHS

constraint large poster 1 0 1 <= 4
small poster 0 1 1 <= 6
hour 3 1.5 4.5 <= 15
work
 variable large poster small poster
2 6
$ 5.00 $ 7.00

to maximize profit $ 52.00

LHS Sign RHS

constraint large poster 1 0 2 <= 4
small poster 0 1 6 <= 6
hour 3 1.5 15 <= 15
work
Variables: X1 X2 X3 X4 X5 X6 X7
1 0 1 0 0 1 0
50 80 90 120 110 40 75 (000s)

Objective (max)
Return 180 000s

constraints: LHS
at least 2 TX 1 1 1 1
no more than 2 foreign 1 1 1
one of 2 california 1 1 1
up to 3 million 480 540 680 1000 700 510 900 1670
 Expected Annual Cost for Block of
Name
Return ($1000) Shares ($1000)
Trans-Texas Oil 50 480
British Petroleum (BP) 80 540
Dutch Shell 90 680
Houston Drilling 120 1000
Texas Petroleum 110 700
San Diego Oil 40 510
California Petro. 75 900

Sign RHS
>= 2
<= 1
= 1
<= 3000
Variables: X1 X2 X3 X4 X5 X6 X7
0 0 1 1 1 1 0
50 80 90 120 110 40 75 (000s)

Objective (max)
Return 360 000s

constraints: LHS
at least 2 TX 1 1 1 2
no more than 2 foreign 1 1 1
one of 2 california 1 1 1
up to 3 million 480 540 680 1000 700 510 900 2890
 Expected Annual Cost for Block of
Name
Return ($1000) Shares ($1000)
Trans-Texas Oil 50 480
British Petroleum (BP) 80 540
Dutch Shell 90 680
Houston Drilling 120 1000
Texas Petroleum 110 700
San Diego Oil 40 510
California Petro. 75 900

Sign RHS
>= 2
<= 1
= 1
<= 3000
 Tower
Location
L1
L1 L2 L3 L4 L5 L6 L2

L3
variable 1 0 1 0 1 0
L4
L5
L6
Objective to minimize 3 towers

constaints A 1 1 1 =
B 1 1 1 =
C 1 1 2 =
D 1 1 1 1 2 =
E 1 1 1 =
F 1 1 1 1 =
G 1 1 1 =
H 1 1 1 =
Areas
Served
A, C, D
B, D, G

B, C, E, F

E, F, H
D, G, H
A, D, F

1
1
1
1
1
1
1
1
 Tower
Location
L1
L1 L2 L3 L4 L5 L6 L2

L3
variable 1 0 1 0 1 0
L4
L5
L6
Objective to minimize 3 towers

constaints A 1 1 1 >=
B 1 1 1 >=
C 1 1 2 >=
D 1 1 1 1 2 >=
E 1 1 1 >=
F 1 1 1 1 >=
G 1 1 1 >=
H 1 1 1 >=
Areas
Served
A, C, D
B, D, G

B, C, E, F

E, F, H
D, G, H
A, D, F

1
1
1
1
1
1
1
1
 X Y
20% 20%

Non-liner vars:
X^2 XY Y^2
formuals 0.04 0.04 0.04
=B2^2 =B2*C2 =C2^2
0.16 0.2 0.9

Objective min
Variance 0.0504

Constraint LHS Sign RHS

all funds invested: 1 1 0.4 = 100%
Exp. Return 9% 11% 8% 0.038 >= 9%
 X Y
33% 67%

Non-liner vars:
X^2 XY Y^2
formuals 0.111111 0.222222 0.444444
=B2^2 =B2*C2 =C2^2
0.16 0.2 0.9

Objective min
Variance 0.462222

Constraint LHS Sign RHS

all funds invested: 1 1 100% = 100%
Exp. Return 9% 11% 8% 9% >= 9%
 X
no 16000
price $ 2.40

revenue $ 38,400.00
equipment $ 1,500.00
variable cost $ 12,800.00
profit $ 24,100.00
 Geometry Calculus
variable 35 50
profit $ 80.00 $ 45.00
assembly 3 5
proofing 4 2

to maximize profit 5050

LHS Sign RHS

constraint assembly 3 5 355 <= 360
proofing 4 2 240 <= 240
variable
price p 3.8
demand d 32000

revenue 121600
fixed cost 2500
variable cost 19200

profit 99900