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Exhibit4 1

This document presents a product mix optimization problem to maximize profit. There are 4 product options with different profit margins and resource requirements. The problem is formulated as a linear program to determine the optimal production quantities of each product given constraints on processing time, shipping capacity, and budget. The solution finds the product mix that results in $45,522.22 in maximum profit.

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duhanix
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45 views2 pages

Exhibit4 1

This document presents a product mix optimization problem to maximize profit. There are 4 product options with different profit margins and resource requirements. The problem is formulated as a linear program to determine the optimal production quantities of each product given constraints on processing time, shipping capacity, and budget. The solution finds the product mix that results in $45,522.22 in maximum profit.

Uploaded by

duhanix
Copyright
© Attribution Non-Commercial (BY-NC)
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as XLS, PDF, TXT or read online on Scribd
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Sheet1

A Product Mix Example

Products: X1 X2 X3 X4
Profit per box: 90 125 45 65 Resources
Resources: Usage Constraints
processing time (hr/box) 0.1 0.25 0.08 0.21 72.0 <=
shipping capacity (boxes) 3 3 1 1 1200.0 <=
budget ($/box) 36 48 25 35 21593.3 <=
blank sweatshirts (boxes) 1 1 233.3 <=
blank T-shirts (boxes) 1 1 500.0 <=

Production:
X1 = 175.56 sweatshirts, front printing
maximize Z = 90x1 + 125x2 + 45x3 + 65x
X2 = 57.78 sweatshirts, back and front printing
X3 = 500.00 T-shirts, front printing
subject to:
X4 = 0.00 T-shirts, back and front printing
Profit = 45522.22 .1x1 + .25x2 + .08x3 + .21x4 <= 7
3x1 + 3x2 + x3 + x4 <= 1
36x1 + 48x2 + 25x3 + 35x4 <= 2
x1 + x2 <=
x3 + x4 <=
x1, x2, x3, x4 >= 0

Page 1
Sheet1

Resources
Available Left over
72 0.0
1200 0.0
25000 3406.7
500 266.7
500 0.0

ze Z = 90x1 + 125x2 + 45x3 + 65x4

to:

.1x1 + .25x2 + .08x3 + .21x4 <= 72


3x1 + 3x2 + x3 + x4 <= 1200
36x1 + 48x2 + 25x3 + 35x4 <= 25000
x1 + x2 <= 500
x3 + x4 <= 500
x1, x2, x3, x4 >= 0

Page 2

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