BUSINESS 2400 Decision Modeling Feedback Test #2 Fall, 2014 Tuesday, November 4 ODM.Tutet For problems 2,3 and 4, all constraints must have the variables on the left-hand side of the <, =, ‘or 2 sig, and thee purpose stated, Ths est conains eight pages. Given Name summe_ Solutions Student Number Section Number (1-9:00410:15;2~ 1030-1145) Pease donot wit inthe space below. Quesnel Mark ‘Ouro [as as 1001. 25 marks) A linear optimization model has been made for a dairy where the variables are the num ‘ber of litres of 19% milk, 2% milk and homogenized milk made each hour. The objective function i in dollars; for example each litre of 196 milk gives a profit (selling price minus variable costs) of $0.21 (or 21 cents) each. There are four constrains (all in lites/hour: raw milk availabe; pasteurisation; ‘production; and shipping. The spreadsheet formulation (wth inal values) is x 8 c . « I< T Dairy nodal 2 low ba ba ba 3 SaasTao| seam foe — [nono wk 4 Maxime: som] sora] $0.23] 3 [ices 3750) ‘of 3009] cI 6 = 7 |eonsirans es [Raw me Avaliable oa] 0.5] Tal rez] 40,009 9 [Pasteurization qi O ‘al 3s000}s| 35,000) To Production o 4 | 38000]s| — 38,00] 11 [shipping 3s mH Gas] 4225|s| 20,009 Using te Sensitivity Report (given at the end), answer the following questions (2) (2 marks) By how mach would the pie pe lite for 26 milk have tise inorder to make any vit evther reduced cost =-0:07 or A-T= 0-07 gives *0.07 Cor 7cexts) Checking he allowable ranges, determine what woul happen othe objective function vale in each f the following situations (eonsidered independent). (Assume thst all proposed changes are feasible) (&) (4 marks) The capacity o pasteurize milk increases by 4000 lites per hour 400 7 AT. = 3000 Dory is etLest 0.0325 (3000) A oFv 2 *97.50 (6) (6 mark Te variable os of mating 1% milk inereases by 2.5 cents per live. (Cully As the variable costs increases by 25¢/L , He profit (= selling price — variable costs) will decrease by 2.540. 0.025 © A.b. = 0.026 | Mofv = —0-025 (5750) = — 4143.75(8) (14 maths) (9 The number of lizesMhour increases by 2100 for pasteurs production. rand by 1550 for Zioo < AT. =3000 4 (550 sAT. = 5750 Need [00% Rule for rhs. 2100 4 ISSO = 0. 767.- S11 alloustle, ooo «8750 A oFv = 00325 (2106) + 0.02 (1550) = 6825 + 3} = #94.25 Gi) The price per litre of 1% milk falls hy 2 cents, and the price perlite of homogenized mill increases by 3 cents. 0.02 £AD.=0.026 # 0.03 £A.T.=0-0325 Need (00% Rule fr oBy fa. coofhivents 0.62 + OOF = 1.69..714 oe «00815 1 We cle nst know whethey or not the combined Changes are alloucble ‘rib coll Final Reduced Objective Allowable Alioweble cet ‘Name Value Cost __Cooffcient_ Increase _ Decrease Bags taes/ doy 16 me 37500 CSS itres/day 2% Mil ‘0007018 007 1830, 3055_itres/day Horr Milk 3000002300325 O02 Conetsits Final” Shadow Constant Allowable Allowable cet Name Value Price _RH.Side Increase Decrease 58_Raw MikAvaiable 75750 —-a0000__—‘teva0_—_—52428 $E53 Pasteursation ‘soon 00825 3500030004600 $€510 Production ‘3900000238000. —5750.—~—~aamn. EH Shipping RDS —(0000 «EHO «SITS2. (25 marks) has destroyed a bridge on the road between cies 3 and 7, so this road is not shown on the map. Give the algebraic model for finding the shortest path between cities 7 and I 7} 2 —f5] a Cy 8 ‘The following picture gives highway distances in kilometes between ast of cites. An carthquake a 49 os — 4 é « - Jl af ave éj is port ofthe shortest path] all defined Let Xi eto p fi © otherwise Cie 2 22 variables) minimize 44 Xna # SoXyst 62 Aue + 44 Xan + $8 Xe3t 53 Xz5450Xs +48 Xan 49 Xae +47 Xa5 + BO Kae 162 Ke 449 Kes * 42 Kays #53 X52 * 21 X53 +58 X57442 Kew + 56 Xos € OF Xen 58 X45 +64 Xr Subject ty: Ending at Nede 1° Ken + Xan *Xa7 Xue-Xys-Xyy = | Node 2+ Xu2 *Xs0 * Xs > Xen ~ Kes - Xas =O Node 3! Xu3 +Xaa + Xas 4 Xos + Xes —Xay - X32 — X3,4- X357 Xu = Nedet: Xng + Xae +Xee -Ken~Xas-Xae =O Node 5: X25 + X35 #Xa5~Xsia-hsa- Xs7 = 0 Node 6 X36 + Xae+ Xr0>Xeus -Xbe- X67 = Beginning ot Nate Xsq + Xe7 — X75~Xve =-| all variables < Lori} 4 arcs oy43, (25 marks) Jennifer is making a larg frit salad fora party. She has everything she needs at home, except for pineapples and bananas. She needs 12 pineapples, and 31 bananas. She goes toa nearby ful stand, where she finds two vendors selling bags of mixed fruit. Vendor | is selling bags ‘containing two pineapples and ten bananas for $12 per bag. Vendor 2s selling bags containing four Pineapples and five bananas for $16 pet bag. Vendor | bags have a mass of 28 kg: Vendor 2 bags have a mass of 3.2 kp. Jenifer cannot carry more than 2.4 kg. She wants fo know how many bags she should buy From each vendor to meet (or exceed) the requirements forthe salad, but atthe least cost possible. (a) (9 marks) Formulate an integer model for this problem. Lek XK, = number of bags purchased From Vendor 3. oO Ype 2 minimize 12% + 16 Xe cent sede Subjeck to Point Point pineapples 2X + #% 212 (0,3) (6,0) bananas lox, + SX 231 (0,62) (3-1,0) mass 29%, + 32k, £224 (0,7) (86) i XX €Lona,() (16 marks) On the graph below, draw the constrains and show the (linea) Feasible region. On this region show all the dots representing the feasible integer solutions. Determine the optimal values for te two variables and the OFY, and give the recommendation. x X24, Xa el, oFv= i2 (ay + led) = 64 Recommendation: dennifer should lvy Four loags From Vendor |, ard one Oud, From Vendor 2, at a cost of ¥G4.4, 25 marks) There are six communities located along the Trans-Canada Highway, none of which thas a fastfood restaurant. A restaurant chain is considering opening up to thee restaurants in the six communities (ao more than one restaurant per community). They believe that they will capture 205% of the market in those communities in which a restaurant is constructed. Furthermore, they believe ‘that they will capture 10% of the market in any community which does not have its own restaurant ‘but which is contiguous to a community (on either or both sides) which does haves restaurant. Each ‘restaurant would have an annual overhead cost of $200,000. Each customer would give an annual ‘contribution to profit of $50. The population of each community is Community TT 2 [3] 4] 376 Population OOH | 5 [23 [8] 16 [30] 4 ‘R= number of restaurants built. Mi = population (in thousands) of communities with a restaurant Ns = population (in thousands) of communities without a restaurant of their own but which are contiguous toa community which does havea restaurant. von { Senet ttanconmniy | 2%= 4 arestauranis built is contiguous community 1a rstaurant is nor builtin community i, but 0 otherwise ‘Wate we bjecuve function andthe constrains for tls problem. DO NOT SOLVE. Nu marks will be awarded forre-staing the definitions ofthe variables Coefficients RK: -Zoo ; Ni 20% (50) = 105 Nz: lo%(S0) = 5 Gin 10003) maximize 10N, + 5 N2- 200R Subject to se of vestaurants R <3 _ balance, restamrants Re Vie te +t Yer ts *%e = 0 balance, NI: — Ni# ST. +23 ¥2 + BY2 + 6% *Z0¥s *4%4 = © =Nat SZi4 23Zz +825 + 16Z4! 3025" FZ = O balance, N2 * relahorship 4. Yr+Z) SV 4 (elev e betucen 4,25. YwiZ £0 Yelatvonship 2 me ~ = betucen ez = Year Yeu t Zp SO 12 RAS -Ys +%e £0 RIM ,N2 Fo Corer) all 1 WS Lou} 7