Prototype Model

from Hillier and Lieberman

Original Form:
Let
x – be the number of batches of product 1 to be produced in one week
y – be the number of batches of product 2 to be produces in one week
P – be the total profit per week for these two products
Maximize
P = 3000x + 5000y
Subject to
x <= 4
2y <= 12
3x + 2y <=18

Augmented Form:
Let
x – be the number of batches of product 1 to be produced in one week
y – be the number of batches of product 2 to be produces in one week
P – be the total profit per week for these two products
x1, x2, x3 – slack variables
Maximize
P - 3000x - 5000y = 0
Subject to
x + x1 = 4
2y + x2 = 12
3x + 2y + x3 = 18

Algebraic Form:
P – 3000x – 5000y =0
x + x1 =4
2y + x2 = 12
3x + 2y + x3 = 18

Tabular Form:
P x y x1 x2 x3 Right Hand
Objective Function 1 -3000 -5000 0 0 0 0
Constraint 1 0 1 0 1 0 0 4
Constraint 2 0 0 2 0 1 0 12
Constraint 3 0 3 2 0 0 1 18
Simplex Method Step 1: Identify the least negative coefficient of the Objective Function.

P x y x1 x2 x3 Right Hand
Objective Function 1 -3000 -5000 0 0 0 0
Constraint 1 0 1 0 1 0 0 4
Constraint 2 0 0 2 0 1 0 12
Constraint 3 0 3 2 0 0 1 18

Simplex Method Step 2: Identify the least quotient of the right hand side and the chosen least negative
coefficient columns excluding the objective function.

P x y x1 x2 x3 Right Hand
Objective Function 1 -3000 -5000 0 0 0 0
Constraint 1 0 1 0 1 0 0 4
Constraint 2 0 0 2 0 1 0 12
Constraint 3 0 3 2 0 0 1 18

Right Hand divided by chosen column quotient

4 / 0 undefined
12 / 2 6 lowest
18 / 2 9

Highlight this row.

P x y x1 x2 x3 Right Hand
Objective Function 1 -3000 -5000 0 0 0 0
Constraint 1 0 1 0 1 0 0 4
Constraint 2 0 0 2 0 1 0 12
Constraint 3 0 3 2 0 0 1 18

The intersection will be our pivot number.

Simplex Method Step 3: Set the pivot number to 1 by doing some mathematical procedure.
Since the number is 2, the only way to make it 1 is simply by dividing it by 2.
Remember to apply this procedure to all values in your row.

Original Constraint 2 0 0 2 0 1 0 12
Divided by 2 to make the pivot 1 and apply the same formula to all values
i.e.
new constraint 2 value = (original constraint 2 value) / 2
New Constraint 2 0/2 0/2 2/2 0/2 1/2 0/2 12/2
0 0 1 0 0.5 0 6

Thus the table becomes

P x y x1 x2 x3 Right Hand
Objective Function 1 -3000 -5000 0 0 0 0
Constraint 1 0 1 0 1 0 0 4
Constraint 2 0 0 1 0 0.5 0 6
Constraint 3 0 3 2 0 0 1 18
Simplex Method Step 4: Set all other values in the column to 0 by doing some mathematical procedures.

P x y x1 x2 x3 Right Hand
Objective Function 1 -3000 -5000 0 0 0 0
Constraint 1 0 1 0 1 0 0 4
Constraint 2 0 0 1 0 0.5 0 6
Constraint 3 0 3 2 0 0 1 18

Here we need to set Objective Function Value -5000 to zero, and Constraint 3 Value 2 to
zero by doing some mathematical procedure. Since Constraint 1 Value is already zero, we don’t need to apply any
mathematical procedure on it.

First we solve for the Objective Function Value -5000 to zero. In doing so, we need to
use Constraint 2 as a basis for setting it to zero. The mathematical procedure in doing it is simply adding the original
Objective Function value to 5000 times the Constraint 2 value.

Remember to apply this procedure to all values in your row.

Original Obj Function 1 -3000 -5000 0 0 0 0

Constraint 2 0 0 1 0 0.5 0 6
Mathematical Procedure is
New Objective Function value = Original Objective Function value + (5000 * Constraint 2 value)
New Obj Function 1+ -3000 + -5000 + 0+ 0+ 0+ 0+
5000 * 0 5000 * 0 5000 * 1 5000 * 0 5000 * 5000 * 0 5000 * 6
0.5
1 -3000 0 0 2500 0 30000

Thus the table becomes

P x y x1 x2 x3 Right Hand
Objective Function 1 -3000 0 0 2500 0 30000
Constraint 1 0 1 0 1 0 0 4
Constraint 2 0 0 1 0 0.5 0 6
Constraint 3 0 3 2 0 0 1 18

Second we solve for the Constraint 3 value 2 to zero. In doing so, we also need to use
Constraint 2 as a basis for setting it to zero. The mathematical procedure in doing it is simply is adding the original
Constraint 3 value to -2 times the Constraint 2 value.

Remember to apply this procedure to all values in your row.

Constraint 2 0 0 1 0 0.5 0 6
Original Constraint 3 0 3 2 0 0 1 18
Mathematical Procedure is
New Constraint 3 value = Original Constraint 3 value + (-2 * Constraint 2 value)
New Constraint 3 0+ 3+ 2+ 0+ 0+ 1+ 18 +
-2 * 0 -2 * 0 -2 * 1 -2 * 0 -2 * 0.5 -2 * 0 -2 * 6
0 3 0 0 -1 1 6
 Thus the table becomes
P x y x1 x2 x3 Right Hand
Objective Function 1 -3000 0 0 2500 0 30000
Constraint 1 0 1 0 1 0 0 4
Constraint 2 0 0 1 0 0.5 0 6
Constraint 3 0 3 0 0 -1 1 6

Since the pivot number is already one and all other values in the column is already set to
zero, then we are already done in this column.

Negative values are still present in our Objective Function thus we again iterate the
steps starting from Step 1.

Simplex Method Step 1: Identify the least negative coefficient of the Objective Function.

P x y x1 x2 x3 Right Hand
Objective Function 1 -3000 0 0 2500 0 30000
Constraint 1 0 1 0 1 0 0 4
Constraint 2 0 0 1 0 0.5 0 6
Constraint 3 0 3 0 0 -1 1 6

Simplex Method Step 2: Identify the least quotient of the right hand side and the chosen least negative
coefficient columns excluding the objective function.

P x y x1 x2 x3 Right Hand
Objective Function 1 -3000 0 0 2500 0 30000
Constraint 1 0 1 0 1 0 0 4
Constraint 2 0 0 1 0 0.5 0 6
Constraint 3 0 3 0 0 -1 1 6

Right Hand divided by chosen column quotient

4 / 1 4
6 / 0 undefined
6 / 3 2 lowest

Highlight this row.

P x y x1 x2 x3 Right Hand
Objective Function 1 -3000 0 0 2500 0 30000
Constraint 1 0 1 0 1 0 0 4
Constraint 2 0 0 1 0 0.5 0 6
Constraint 3 0 3 0 0 -1 1 6

The intersection will be our pivot number.

Simplex Method Step 3: Set the pivot number to 1 by doing some mathematical procedure.
Since the number is 3, the only way to make it 1 is simply by dividing it by 3.
Remember to apply this procedure to all values in your row.

Original Constraint 3 0 3 0 0 -1 1 6
Divided by 3 to make the pivot 1 and apply the same formula to all values
i.e.
new constraint 3 value = (original constraint 3 value) / 3
New Constraint 2 0/3 3/3 0/3 0/3 -1/3 1/3 6/3
0 1 0 0 -0.3333 0.3333 2

Thus the table becomes

P x y x1 x2 x3 Right Hand
Objective Function 1 -3000 0 0 2500 0 30000
Constraint 1 0 1 0 1 0 0 4
Constraint 2 0 0 1 0 0.5 0 6
Constraint 3 0 1 0 0 -0.3333 0.3333 2

Simplex Method Step 4: Set all other values in the column to 0 by doing some mathematical procedures.

P x y x1 x2 x3 Right Hand
Objective Function 1 -3000 0 0 2500 0 30000
Constraint 1 0 1 0 1 0 0 4
Constraint 2 0 0 1 0 0.5 0 6
Constraint 3 0 1 0 0 -0.3333 0.3333 2

Here we need to set Objective Function Value -3000 to zero, and Constraint 1 Value 1 to
zero by doing some mathematical procedure. Since Constraint 2 Value is already zero, we don’t need to apply any
mathematical procedure on it.

First we solve for the Objective Function Value -3000 to zero. In doing so, we need to
use Constraint 3 as a basis for setting it to zero. The mathematical procedure in doing it is simply adding the original
Objective Function value to 3000 times the Constraint 3 value.

Remember to apply this procedure to all values in your row.

Original Obj Function 1 -3000 0 0 2500 0 30000

Constraint 3 0 1 0 0 -0.3333 0.3333 2
Mathematical Procedure is
New Objective Function value = Original Objective Function value + (3000 * Constraint 3 value)
New Obj Function 1+ -3000 + 0+ 0+ 2500 + 0+ 30000 +
3000 * 0 3000 * 1 3000 * 0 3000 * 0 3000 * 3000 * 3000 * 2
-0.3333 0.3333
1 0 0 0 1500 1000 36000
 Thus the table becomes
P x y x1 x2 x3 Right Hand
Objective Function 1 0 0 0 1500 1000 36000
Constraint 1 0 1 0 1 0 0 4
Constraint 2 0 0 1 0 0.5 0 6
Constraint 3 0 1 0 0 -0.3333 0.3333 2

Second we solve for the Constraint 1 value 1 to zero. In doing so, we also need to use
Constraint 3 as a basis for setting it to zero. The mathematical procedure in doing it is simply is adding the original
Constraint 1 value to -1 times the Constraint 3 value.

Remember to apply this procedure to all values in your row.

Original Constraint 1 0 1 0 1 0 0 4
Constraint 3 0 1 0 0 -0.3333 0.3333 2
Mathematical Procedure is
New Constraint 1 value = Original Constraint 1 value + (-1 * Constraint 3 value)
New Constraint 1 0+ 1+ 0+ 1+ 0+ 0+ 4+
-1 * 0 -1 * 1 -1 * 0 -1 * 0 -1 * -1 * -1 * 2
-0.3333 0.3333
0 0 0 1 0.3333 -0.3333 2

Thus the table becomes

P x y x1 x2 x3 Right Hand
Objective Function 1 0 0 0 1500 1000 36000
Constraint 1 0 0 0 1 0.3333 -0.3333 2
Constraint 2 0 0 1 0 0.5 0 6
Constraint 3 0 1 0 0 -0.3333 0.3333 2

Since all values in the Objective Function are already non negative, then we are done
in iteration.

Simplex Method Step 5: Get the simplex method results.

P x y x1 x2 x3 Right Hand
Objective Function 1 0 0 0 1500 1000 36000
Constraint 1 0 0 0 1 0.3333 -0.3333 2
Constraint 2 0 0 1 0 0.5 0 6
Constraint 3 0 1 0 0 -0.3333 0.3333 2

The answer to maximize this problem is

P = 36000 when x = 2 and y = 6