Linear Programing Assignment | Online Assignment

A company manufactures two products. If it charges price p_i for product i, it can sell q_i units of product i, where q₁ = 80 – 2p₁ + p₂ and q₂ = 100 – 3p₂ + p₁. It costs $8 to produce a unit of product 1 and $15 to produce a unit of product 2.

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a. How many units of each product should the company produce to maximize its profit? If needed, round your answers to one decimal digit.

	Product 1	Product 2
Production quantities	_________________	_________________

b. What prices should the company charge to maximize its profit? If needed, round your answers to the nearest cent.

	Product 1	Product 2
Prices	$ _________________	$ _________________

A Wall Street firm is trying to package nine mortgages for sale. The sizes of the mortgages (in thousands of dollars) are listed in the file P08_27.xlsx. To be sold, each package must consist of at least $1,000,000 in mortgages. What is the largest number of packages that can be created?

Number of packages: _________________

Bus 99 serves towns 1 through 10. We assume that town k is |k – j| miles from town j. The numbers of people in the towns who want to take the bus each hour are listed in the file P08_29.xlsx. Bus 99 will make two stops and anyone who wants to take the bus will walk to the closest bus stop.

a. If the goal is to minimize the total distance people walk, where should the bus stop?

	First	Second
Cities with stops	_________________	_________________

b. If the bus is allowed to make three stops, how much will the total walking distance be reduced?

Total distance reduced: _________________

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