Linear Optimization
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Develop a linear programming model with the data from tables 1-5
Make or Buy(maximize profit /minimize cost)
There are Four orders for the next 90 days
Orders are to be Completed 90 Days
Products are shown in Table 1.
The orders are shown in Table 2
Table 3 lists the amount of plate steel required to produce one unit of each product and the total amount of steel on hand
The total time available (in hours) and the processing time requirements of each product (in minutes) are shown in Table 4.
Table 5 contains the cost to manufacture and purchase each product. Note: material and labor costs are included in the costs shown in the second column of the table.
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Solution Summary
Linear Optimization is assessed.
Solution Preview
Please see the attached files.
As per the given information the products can be either produced or purchased. The following table gives quantity to be produced and purchased together with the cost for the various products.
Product Part # Quantity to be produced Quantity to be Purchased
Cost for production
Cost for purchase
10' X 6" Casing 106C
512 640
20' x 6" Casing 206C
925 1156
10' Radius Casing 206C10R
650
20' Radius Casing 206C20R
1039
10' X 12" Casing 1012C
1428 1785
20' x 12" Casing 2012C
1817 2271
25' x 24" R&W Pipe 2524RW
2206 2758
50' x 24" R&W Pipe 5024RW
2595 3244
50' x 36" R&W Pipe 5036RW
2984 3730
50' x 72" R&W ...
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