Operations Managemnt

DS 412 Linear Programming Please turn in your Excel by July 24, Friday with Solver solutions and answers to the questions. Bob is making and selling two different types of burgers, Cheeseburgers(CB) and Double-Bacon- Burgers(DBB) at a local fundraising lunch, and he has a finite amount of donated supplies. The table below shows ingredients needed for each burger and his supplies. He’s also promised to make at least 1 Cheeseburger. He’d like to make the most revenues possible, and Cheeseburgers sell for $3 each, while Double-Bacon-Burgers are more expensive, at $5/each.

CB DBB Supplies Available Beef Patties 1 1 10 patties Cheese Slices 1 0 10 slices Bacon Slices 0 2 8 slices Buns 1 1 12 buns

1. Please formulate the problem, and write out the formulas.

a. Label decision variables b. Formulate objective function c. Formulate constraints

2. What is the optimal solution and optimized objective function value? Please use solver to get the

solutions, and double check with your graphical solution (if you want to practice graphical solution again).

3. Run the sensitivity report, and answer the following questions (each question is independent) a. If Bob increased Cheeseburgers’ price to $6 each, how the optimal solution and

optimized objective function value would change? b. If Bob decreased Cheeseburgers’ price to $2 each, how the optimal solution and

optimized objective function value would change? c. If Bob increased Double-Bacon-Burgers’ price to $6 each, how the optimal solution and

optimized objective function value would change? d. If Bob decreased Double-Bacon-Burgers’ price to $2 each, how the optimal solution and

optimized objective function value would change? e. Are there any binding constraints? What are they? f. If there were only 7 beef patties, how the optimal solution and optimized objective

function value would change? g. If there were 12 bacon slides, how the optimal solution and optimized objective function

value would change?

4. If Bob is also making Veggie-Cheese-Melt (VCM) that requires 2 cheese slices and 1 bun, and selling for $4.5 each, how would you like to update the Excel and Solver set-up? Please do it in a separate worksheet so you still keep the solutions for the original problem.

a. What are the new optimal solution and optimized objective function value? b. Run the sensitivity report, and answer the questions in #3.