KLEIN

Solve Problem and Applications:  ch 13- prob 7 [Klein Industries manufactures three types of portable  air compressors] in page 451 at the end of chapter 13 in your textbook,  USA 5th edition. The data is given as part of the question. There is no  external data set provided. Use what is given by the problem. You  need to submit a formal APA paper to explain all your findings together  with your Excel Worksheet to demonstrate you have set up the Solver  correctly. In the paper, you also need to explain how you set up the LP  model to solve this case study.
 

13-7.  Klein Industries manufactures three types of portable air compressors: small, medium, and large, which have unit profits of $20.50, $34.00, and $42.00, respectively. The projected monthly sales are: 
 

                         Small  Medium  Large 

 Minimum  14,000   6,200     2,600 

 Maximum  21,000  12,500  4,200 
 

 The  production process consists of three primary activities: bending and  forming, welding, and painting. The amount of time in minutes needed to  process each product in each department is shown below: 
                                            Small  Medium  Large   Available Time  
Bending/forming      0.4          0.7           0.8         23,400 
  Welding                       0.6         1.0            1.2         23,400 
  Painting                       1.4          2.6           3.1         46,800 
   
How many of each type of air compressor should the company produce to maximize profit? 
   a.   Formulate and solve a linear optimization model using the auxiliary  variable cells method and write a short memo to the production manager  explaining the sensitivity information. 
   b.   Solve the model without the auxiliary variables and explain the  relationship between the reduced costs and the shadow prices found in  part a. 
 

Solution Tip: You must use Solver tool in Excel. Set your constraints right, and fill in the solver dialogue box properly.  I HAVE ATTACHED SAMPLES AS GUIDANCE. NO PLAGIARISM. MEMO & ANALYSIS should be MINIMUM 1000 WORDS AND SHOULD EXPLAIN HOW YOU USED THE EXCEL SOLVER TO ARRIVE AT YOUR CONCLUSION, SEE SAMPLE PAPER FOR GUIDANCE.  DUE 4/17/2020 AT 10AM EST.