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School of Mathematics, Thapar University

Optimization Techniques (UMA-031)


Tutorial Sheet # 4

1. A Company manufactures two products, A and B. The unit revenues are $ 2 and $3, respectively. Two raw materials, M1 and M2
used in the manufacturer of the two products have daily availabilities of 8 and 18 units respectively. One unit of A uses 2 units of M1
and 2 units of M2 and 1unit of B uses 3 units of M1 and 6 units of M2.
(a) Use the graphical solution to determine the optimal solution of both the products.
(b) Determine the dual prices of M1 and M2 and their feasibility ranges.
(c) Suppose that 2 additional units of M1 can be acquired at the cost of $25 per unit. Would you recommended the additional
purchase?
(d) If M2 availability is increased by 3 units, determine the associated optimum revenue.
CA
(e) Determine the optimality condition for that will keep the optimum unchanged.
CB
(f) Determine the optimality ranges for CA and CB assuming that the other coefficient is kept constant at its present value.
2. A company produces two types of hats. Type 1 require twice as much labour time as type 2 alone. If all labour time is dedicated to
type 2 alone, the company can produce a total of 400 hats of type 2 per day. Respective market limits for two types are 150 and 200
per day. The profit is Rs. 8 per type 1 and Rs. 5 per type 2 hat.
(a) Use the graphical solution to determine the number of hats of each type that maximize revenue.
(b) Determine the dual price of the production capacity (in terms of type 2 hat) and the ranges for which it is applicable.
(c) Determine the optimality ranges for the unit revenue ratio of the two types of hats that will keep the current optimum unchanged.
(d) Will the optimal solution change if the revenue per unit is the same for both types.

3. Upon completing the construction of his house, the owner discovered that 100 square feet (sq. ft.) of plywood scrap and 80 sq. ft. of
white pine scrap in usable form for construction of tables and book cases. It takes 16 sq. ft. of plywood and 12 sq. ft. of white pine for
the construction of a table and 12 sq. ft. of plywood and 16 sq. ft. of white pine for the construction of a book case. By selling the
finished products to a local furniture store, the owner can realize a profit of Rs. 25 on each table and Rs. 20 on each book case.
Formulate the problem as an LPP model to give the most profitably use of the left-over wood. Further, solve the following by applying
graphical sensitivity analysis:
i. Determine the dual prices of plywood and white pine scraps, and their feasibility ranges. If the availability of plywood
scrap is increased from 100 sq. ft. to 104 sq. ft., how will this increase impact the optimum profit?
ii. Determine the optimality ranges for the unit profit ratio of table and book case that will keep the current optimum
unchanged.
iii. If the unit profit of book case is fixed at its current value, find the optimality range of unit profit of table. However, if the
unit profit of table is fixed at its current value, find the optimality range of unit profit of table.
iv. Suppose that the unit profit for table and book case are changed to Rs. 30 and Rs. 25, respectively. Will the current
optimum remain same?
4. A company produces three products, A, B, and C. The sales volume for A is at least 50% of the total sales of all three products.
However, the company cannot sell more than 75 units of A per day. The three products use one raw material, of which the maximum
daily availability is 240 lb. The usage rates of the raw material are 2 lb per unit of A, 4 lb per unit of B, and 3 lb per unit of C. The unit
prices for A, B, and C are $20, $50, and $35, respectively.
i. Determine the optimal product mix for the company.
ii. Determine the dual price of the raw material resource and its allowable ranges. If the available raw material is increased by
120 lb, determine the optimal solution and change in total revenue using dual prices.
iii. Use the dual price to determine the effect of changing the maximum demand for product A by 10 units.
5. Write the duals of the following problems:
(i) Max z x 1 2x 2 4x 3 3x 4 , s / t x 1 x 2 3x 3 x 4 9 , 3x 1 5x 2 2x 3 7x 4 5 ,
x1 3x 2 5x 4 8 , x 1 , x 2 , x 3 , x 4 0
(ii) Min z 2x 1 x 2 x 3 , s / t x 1 x 2 x 3 1, 2x 1 x 3 0 , x 1 x 2 x 3 2 ,
x1 0 , x 2 0
(iii) Min z 6 x1 3 x2 , s / t 6 x1 3 x2 x3 2, 3x1 4 x2 x3 5,
x1 , x2 , x3 0.
(iv) Max z x1 x2 , s / t 2 x1 x2 5, 3x1 x2 6,
x1 , x2 is unrestricted.
6. Show that the following problem and its dual are infeasible.
Max z 8x1 6x 2 , s / t 2x1 x 2 2 , 4x1 2x 2 1 , x1 , x 2 0
7. Write the dual of the problem: Max z x 1 2x 2 x 3 ,
s / t x 1 x 2 x 3 2 , x 1 x 2 x 3 1 , 2x 1 x 2 x 3 2 , x 1 0 , x 2 0
and using the duality theory show that maximum of z can not exceed one.
8. Show by inspection that the dual of the problem:
Max z 2x 1 3x 2 5x 3 , s / t x 1 x 2 x 3 15 , x 1 , x 2 , x 3 0
is infeasible. What can you say about the solution of the primal?
9. Describe the dual simplex method. Using it solve:
(i) Min z 2 x1 x2 , s / t 3x1 x2 3, 4 x1 3x2 6, x1 2 x2 3, x1 , x2 0 .
(ii) Min z x 1 4x 2 3x 4 , s / t x 1 2x 2 x 3 x 4 3
s / t x 1 2x 2 x 3 x 4 3 , 2x 1 x 2 4x 3 x 4 2 , x 1 , x 2 , x 3 , x 4 0
(iii)
Min z 5x1 6 x2 , s / t x1 x2 2, 4 x1 x2 4, x1 , x2 0.

(iv)
Min z 4 x1 2 x2 , s / t x1 x2 1, 3x1 x2 2, x1 , x2 0.

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