Microsoft Excel 12.

0 Sensitivity Report
Worksheet: [group work.xlsx]Sheet1
Report Created: 15-11-2016 16:04:50

Adjustable Cells
Final Reduced Objective Allowable Allowable
Cell Name Value Cost Coefficient Increase Decrease
$D$8 qty chocolate 0 -0.375 10 0.375 1E+030
$E$8 qty vanilla 300 0 9 0.5 0.1249999999
$F$8 qty banana 75 0 9.5 0.214285714 0.5

Constraints
Final Shadow Constraint Allowable Allowable
Cell Name Value Price R.H. Side Increase Decrease
$H$4 Milk required 180 0 200 1E+030 20
$H$5 Sugar required 150 18.75 150 10 29.9999999994
$H$6 cream required 60 10 60 15 3.7499999999
ans number 1
chocolate vanilla banana available required
Milk 0.45 0.5 0.4 200 180
Sugar 0.5 0.4 0.4 150 150
cream 0.1 0.15 0.2 60 60
Unit profit 10 9 9.5
qty 0 300 75

total profit 3413

ans
a following is the optimal change
chocolate 0
vanilla 300
banana 75

b yes the solution will change as the net allowable increase for banana is only 0.21

c no the solution will not change as the allowable decrese in the qty of cream is 3.75

d yes, the firm should buy sugar for 15rs per Kg as the additional profit it can generate with 1 qty of cream

e the new product will take away existing resource, so we multiply the shadow price with the required reso
i.e.
resource required shadow price
milk 0.3 0 0
sugar 0.5 18.75 9.375
cream 0.2 10 2
total 11.375
therefore, the unit profit should be atleast Rs. 11.375
an generate with 1 qty of cream is 18.75

dow price with the required resources

initial cash position 6500
final cash position (minimum 5000

Month Cash Flowscash posit long term debt takeninterest paid

Jan -12000 30344
Feb -10000 -303.44
Mar -8000 -303.44
Apr -10000 -303.44
May -4000 -303.44
Jun 5000 -303.44
Jul -7000 -303.44
Aug -2000 -303.44
Sep 15000 -303.44
Oct 12000 -303.44
Nov -7000 -303.44
Dec 45000 -303.44
Jan -303.44
short term loan takeninterest principal paidnet cash p interest earned opening position of next month
0 0 0 24844 99 24943
0 0 0 14640 59 14698
0 0 0 6395 26 6421
8882 0 0 4999 20 5019
13299 -133.2 -8882 5000 20 5020
8782 -199.5 -13299 5000 20 5020
16197 -131.7 -8782 4999 20 5019
18724 -243 -16197 5000 20 5020
14288 -280.9 -18724 15000 60 15060
0 -214.3 -14288 12254 49 12303
0 0 0 5000 20 5020
0 0 0 49716 199 49915

Net cash position 19268

total interest payment -4844
next month