MT278: Linear Programming – 2017/2018

Tutorial 6 – Sensitivity Analysis with Graphical method

1. Answer the following questions using the Giapetto’s optimal solution

(a) Show that if the contribution to profit for train is between $1.5 and $3, the current
basis remain optimal. If the contribution to profit for trains is $2.5, what would be
the new optimal solution?
(b) If between 60 and 100 carpentry hours are available, then would Giapetto still produce
20 soldiers and 60 trains?

2. Solve graphically the Dorian Auto problem given in Lecture 3, and then

(a) find the range of values of the cost of a comedy ad for which the current basis remain
optimal.
(b) find the range of basis of the cost of a football ad for which the current basis remain
optimal.
(c) find the range of values of required HIW exposures for which the current basis remain
optimal. Determine the new optimal solution if 28 + ∆ million HIW exposures are
required.
(d) find the shadow price of each constraint.
(e) if 26 million HIW are required, determine the new optimal solution.

3. JOBCO produces two products on two machines. A unit of product 1 requires 2 hours on
machine 1 and 1 hour on machine 2. For product 2, a unit requires 1 hour on machine 1
and 3 hours on machine 2. The revenues per unit of products 1 and 2 are $30 and $20,
respectively. The total daily processing time available for each machine is 8 hours.

(a) Formulate and solve the LP with graphical method.

(b) Study the ranges of each objective function coefficients and each machine processing
time without changing the current basis.
(c) What is the dual price of each constraint?
(d) If JOBCO can increase the capacity of both machines, which machine should be given
higher priority?
(e) A suggestion is made to increase the capacities of machine 1 and machine 2 at addi-
tional cost of $10/h. Is this advisable?
(f) If the capacity of machine 1 is increased from 8 hours to 13 hours, how will this in-
crease impact on the optimum revenue? What are the number of units corresponding
to this new optimum value?
(g) Suppose that the capacity of machine 1 is increased to 20 hours, how will this increase
impact the optimum solution?