Assignment – 1 (LPP)

Q.No.1. A firm engaged in producing two models A and B, using three operations painting, assembly
and testing. The relevant data are as follows: (Use Graphical Method)

Unit Sale Price Hours required for each unit

Assembly Painting Testing
Model A Rs 50.00 1.0 0.2 0.0
Model B Rs 80.00 1.5 0.2 0.1
Total number of hours available each week is as under assembly 600, painting 100, and testing 30.
The firm wishes to determine the weekly product-mix as to maximize revenue.

Q.No.2. A company manufactures and sells three models of large sized pressure cookers for canteen
use. While market demands pose no constraints, supplies of aluminum limited to 750 kg per week and
availability of machine time limited to 600 hours per week. The resources usage of the three models
and their profitability are given below:
Models
M1 M2 M3
Aluminum/unit 6 3 5
Machine Time/unit 3 4 5
Profit Contribution (Rs/unit) 60 20 80
Formulate this problem as LPP and solve for optimal solution to find the number of units produced for
M1, M2 and M3 so as to maximize profit.

Q.3. A timber merchant manufactures three types of plywood. The data below give the production
hours per unit in each of three production operations, maximum time available and profit per unit.

Operations (Hours) Profit/Unit (Rs)

Plywood I II III
Grade A 2 2 4 40
Grade B 5 5 2 30
Grade C 10 3 2 20
Available time 900 400 600
Find i) Formulate this Problem as LPP model.
ii) Solve this LPP model using Simplex method to find how many units of each grade of
plywood should be produced to maximize the total profit.
iii) Find the total profit and unused resource.

Q.4. A firm uses three machines in the manufacture of three products. Each unit of product A requires
3 hours on machine I, 2 hours on machine II and 1 hour on machine III. Each unit of product B requires
4 hours on machine I, 1 hour on machine II and 3 hour on machine III, while each unit of C requires 2
hours on each of three machines. The contribution margin of the three products is Rs 30, Rs 40, Rs 35
per unit respectively. The machine hours available on three machines are 90, 54 and 93 respectively.
Formulate the problem as LPP and find the optimal solution by using simplex method.

Q.5. Write the dual of above LPPs.

Q.6. Describe the scope, applications and limitations of operations research in managerial decision
making.