Objective function is-
Maximize z=300ufl+1000fl+800fp+300 ufp.ST: 40ufl+40fl+30ufp+30fp<=40,0002ufl+5fl+2ufp+4fp<=8000
1. Determine how many of each of these should be manufactured optimallyfor profit maximization?A. According to the analysis Fortune Art should manufacture
1333 FinishedPendant Lights
for optimal profit maximization. They should not manufacture any ufp, fl, ufls.2. What would be the impact on profit and production if the availability of glass is increased by 3000 sq ft? By what amount can this constraint beincreased or decreased?A. If the availability of Glass is increased by 3000 sq.ft, then the impact onthe profit would be that THE PROFIT INCREASES BY RS.80,100 sinceShadow Price = Rs 26.7Increase in availability of glass=3000Sq.ftProfit impact-3000*Rs 26.7(shadow price) =increases by Rs 80,100For the current solution to remain The availability has to be increased by 40000+80000=120000 The availability has to be decreased by 40000-40000=0i.e. the glass availability should not be decreased if we want the currentsolution to hold good for the manufacturer3. Supposing that the supplier of glass decides to increase the cost of glassby Rs2.50, i.e the price of glass would now be Rs.12.50 instead of Rs.10, whatwould be the objective function for maximization of profit?A.
New objective function-200 ufl+900fl+700ufp+200ufp