Initial Inventory 5000

Holding Cost % 5%

Month 1 2 3 4 5 6
Production cost per unit $ 12.50 $ 12.55 $ 12.70 $ 12.80 $ 12.85 $ 12.95

Plan
Month 1 2 3 4 5 6
Units Produced 5000 20000 30000 30000 25000 10000
<= <= <= <= <= <=
Production Capacity 30,000 30,000 30,000 30,000 30,000 30,000

Stock 10000 20000 35,000 35000 25000 10000

>= >= >= >= >= >=
Demand 10,000 15,000 30,000 35,000 25,000 10,000

Ending inventory - 5,000 5,000 - - -

<= <= <= <= <= <=
Storage capacity 10,000 10,000 10,000 10,000 10,000 10,000

Cost
Month 1 2 3 4 5 6
Production cost 62,500 251,000 381,000 384,000 321,250 129,500
Hoding cost - 3,138 3,175 - - -
Total 62,500 254,138 384,175 384,000 321,250 129,500
 Objective function is in grey
Inputs are in blue

$ 1,529,250.00
$ 6,312.50
$ 1,535,562.50
Microsoft Excel 15.0 Sensitivity Report
Worksheet: [Chapter 3 Examples.xlsx]3.3
Report Created: 9/15/2021 3:43:19 PM

Variable Cells
Final Reduced Objective Allowable Allowable
Cell Name Value Cost Coefficient Increase Decrease
$B$12 Units Produced 5000 0 16.3175 1.00E+30 0.57500000007
$C$12 Units Produced 20000 0 15.7424999999 0.575 0.47749999989
$D$12 Units Produced 30000 -0.4774999999 15.265 0.4775 1E+030
$E$12 Units Produced 30000 -1.0124999999 14.73 1.0125 1E+030
$F$12 Units Produced 25000 0 14.14 1.6025 0.54250000004
$G$12 Units Produced 10000 0 13.5975 0.5425 13.5975

Constraints
Final Shadow Constraint Allowable Allowable
Cell Name Value Price R.H. Side Increase Decrease
$B$16 Stock <= 10000 0.57500000007 10000 10000 5000
$C$16 Stock <= 20000 0 15000 5000 1E+030
$D$16 Stock <= 35000 0 30000 5000 1E+030
$E$16 Stock <= 35000 1.60249999992 35000 5000 5000
$F$16 Stock <= 25000 0.54250000004 25000 5000 20000
$G$16 Stock <= 10000 13.5975 10000 10000 10000
$B$20 Ending inventory 0 0 10000 1E+030 10000
$C$20 Ending inventory 5000 0 10000 1E+030 5000
$D$20 Ending inventory 5000 0 10000 1E+030 5000
$E$20 Ending inventory 0 0 10000 1E+030 10000
$F$20 Ending inventory 0 0 10000 1E+030 10000
$G$20 Ending inventory 0 0 10000 1E+030 10000