Indian Institute of Technology (BHU) Varanasi

MID Term Examination/Evaluation

ODD Semester 2021-22
Deterministic Decision Modelling (ME-DSE 511)
Date: Monday, 20 September 2021, 8 am

Due on: Tuesday, 21 September 2021, 8 am

Maximum marks: 30

Note: All questions are compulsory and carry equal weight. Make suitable assumptions where ever

necessary.

Q.1: Suppose your friend is thinking to purchase Macbook Air that costs $1000. A popular e-tailer is

offering the product on EMI with 12% annual rate of interest for the period of 60 months. Your friend

however needs to know the EMI. Being studied the Linear Programming, can you help your friend in

determining the EMI by formulating and solving this problem as an LP?

Q.2: Solve the following problem graphically.

max Z = min[3x1 − 10, −5x1 + 5]

Subject to 0 ≤ x1 ≤ 5

Q.3: The tableau given below corresponds to a maximization problem in decision variables xj ≥

0, (j = 1, 2, ..., 5).

Basic
z x1 x2 x3 x4 x5 RHS
variable
z 1 c 2 0 0 0 10
x3 0 -1 a1 1 0 0 4
x4 0 a2 -4 0 1 0 1
x5 0 a3 3 0 0 1 b

State the conditions on all five unknowns a1 , a2 , a3 , b and c such that the following statements are

true.

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 a The current basis is optimal.

b The current basis is not optimal.

c The problem is unbounded.

d The problem is infeasible.

e There are multiple optimal solutions.

Q.4: Solve the problem using simplex algorithm.

max Z = x1 − 2x2 + 3x3

Subject to x1 + x2 + x3 ≤ 7

x1 − x2 + x3 ≥ 2

3x1 − x2 − 2x3 = −5

x1 , x2 ≥ 0

x3 unrestricted in sign

Q.5: Farmer Leary grows wheat and corn on his 45-acre farm. He can sell at most 140 bushels of

wheat and 120 bushels of corn. Each planted acre yields either 5 bushels of wheat or 4 bushels of corn.

Wheat sells for $30 per bushel, and corn sells for $50 per bushel. Six hours of labor are needed to

harvest an acre of wheat, and 10 hours are needed to harvest an acre of corn. As many as 350 hours

of labor can be purchased at $10 per hour. Formulate an LP to that maximizes the profit for Farmer

Larry. Obtained an optimal solution and answer the following questions.

a What is the most that Leary should pay for an additional hour of labor?

b What is the most that Leary should pay for an additional acre of land?

c If only 40 acres of land were available, what would be Learys profit?

d If the price of wheat dropped to $26, what would be the new optimal solution?

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e Farmer Leary is considering growing barley. Demand for barley is unlimited. An acre yields 4

bushels of barley and requires 3 hours of labor. If barley sells for $30 per bushel, should Leary

produce any barley?

Q.6: Consider the following problem.

max Z = 2x1 + 7x2 + 4x3

Subject to x1 + 2x2 + x3 ≤ 10

3x1 + 3x2 + 2x3 ≤ 10

x1 , x2 , x3 ≥ 0.

a Construct the dual problem for this primal problem.

b Use the dual problem to demonstrate that the optimal value of z for the primal problem

cannot exceed 25.

c Solve the dual problem graphically. Use this solution to identify the basic variables and the

non-basic variables for the optimal solution of the primal problem.

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