Janine J.

Anzano Management Science

BSA - 1B

Southern Sporting Goods Company makes basketballs and footballs. Each product is produced from two
resources—rubber and leather. The resource requirements for each product and the total resources
available are as follows:

Each basketball produced results in a profit of $12, and each football earns $16 in profit.

a. Formulate a linear programming model to determine the number of basketballs and footballs to
produce in order to maximize profit.

Maximization profit: 12x +16y

Subject to:

3x + 2y <= 500 (0,250) (166.7)

4x + 5y <= 800 (0,160) (200,0)

250 3x + 2y = 500

200

A
150

B
100

50

4x + 5y = 800
50 100 150 C 200 250

Maximization profit:
A (0,160) = $2,560
B (128.6, 57.1) = $2,456
C (166.7,0) = $2,000
Decision: 160 units of football to produce

b. Transform this model into standard form.

Z = 12x1 + 16x2 + 0s1 + 0s2

3x1 + 2x2 +s1
4x1 + 5x2 + s2
x1, x2, s1, s2 >= 0

x>= 0, y>= 0
Janine J. Anzano Management Science
BSA - 1B

Southern Sporting Goods Company makes basketballs and footballs. Each product is produced from two
resources—rubber and leather. The resource requirements for each product and the total resources
available are as follows:

Each basketball produced results in a profit of $12, and each football earns $16 in profit.

8. Solve the model formulated in Problem 7 for Southern Sporting Goods Company graphically.

a. Identify the amount of unused resources (i.e., slack) at each of the graphical extreme points.

The leftover is also identified as the amount unused resources which is 180 pound per unit of the
rubber. On the other hand, no leftover is shown in the leather.

b. What would be the effect on the optimal solution if the profit for a basketball changed from $12
to $13?

When the profit of basketball changed from $12 to $13, the profit changed from 2560 to 2585.71.
Also, the usage changed to 500 and no leftover occurs.
Janine J. Anzano Management Science
BSA - 1B

What would be the effect if the profit for a football changed from $16 to $15?

From $16 changed to $15, the profit changed to $2400 from the original quantity of $2560.

c. What would be the effect on the optimal solution if 500 additional pounds of rubber could be
obtained?

As the available pounds of rubber added by 500 which it becomes 100, the leftover turns into
680 units.

What would be the effect if 500 additional square feet of leather could be obtained?

When 800 units of leather added by 500 square feet, the usage of rubber changed into 500 and
in leather changed to 1250. Moreover, there were 50 leftover in the leather and no leftover in the rubber.
Additionally, the profit changed into $4000.
Janine J. Anzano Management Science
BSA - 1B

9. For the linear programming model for Southern Sporting Goods Company, formulated in Problem 7
and solved graphically in Problem 8:

a. Determine the sensitivity ranges for the objective function coefficients and constraint quantity
values, using graphical analysis.

b. Verify the sensitivity ranges determined in (a) by using the computer.

c. Using the computer, determine the shadow prices for the resources and explain their meaning.

The shadow prices for the resources in the rubber is 0 which means there is no estimated price.

The shadow price in the leather is 3.2 which means it is the estimated price or unit added in
every increase and deducted in every decrease in the profit.