Klein Chemicals, Inc., produces a special oil-based material that is currently in short supply. Four of Klein's customers have already placed orders that together exceed the combined capacity of Klein's two plants. Klein’s management faces the problem of deciding how many units it should supply to each customer. Because the four customers are in different industries, different prices can be charged because of the various industry pricing structures. However, slightly different production costs at the two plants and varying transportation costs between the plants and customers make a "sell to the highest bidder" strategy unacceptable. After considering price, production costs, and transportation costs, Klein established the following profit per unit for each plant–customer alternative:
| Customer | ||||||||
| Plant | D1 | D2 | D3 | D4 | ||||
| Clifton Springs | $128 | $136 | $128 | $160 | ||||
| Danville | $136 | $120 | $112 | $152 | ||||
The plant capacities and customer orders are as follows:
| Plant | Capacity (units) | Distributor Orders (units) | |||
| Clifton Springs | 25000 | D1 10000 | |||
| D2 25000 | |||||
| Danville | 15000 | D315000 | |||
| D410000 | |||||
How many units should each plant produce for each customer in order to maximize profits? Which customer demands will not be met? Choose correct network model and Show linear programming formulation. If the constant is "1" it must be entered in the box. If your answer is zero, enter "0".
Note: Dummy origin has supply of 20000.
| (i) | (ii) | ||
| (iii) | (iv) | ||
Let xij = amount of units produced by plant node i for customer node j.
| Max | x11 | + | x12 | + | x13 | + | x14 | + | x21 | + | x22 | + | x23 | |||||
| + | x24 | + | x31 | + | x32 | + | x33 | + | x34 | |||||||||
| s.t. | x11 | + | x12 | + | x13 | + | x14 | ≤ | ||||||||||
| x21 | + | x22 | + | x23 | + | x24 | ≤ | |||||||||||
| x31 | + | x32 | + | x33 | + | x34 | ≤ | Dummy | ||||||||||
| x11 | + | x21 | + | x31 | = | |||||||||||||
| x12 | + | x22 | + | x32 | = | |||||||||||||
| x13 | + | x23 | + | x33 | = | |||||||||||||
| x14 | + | x24 | + | x34 | = | |||||||||||||
| xij ≥ 0 for all i, j | ||||||||||||||||||
| Units | Cost, $ | |
| Clifton Springs - D1 | ||
| Clifton Springs - D2 | ||
| Clifton Springs - D3 | ||
| Clifton Springs - D4 | ||
| Danville - D1 | ||
| Danville - D2 | ||
| Danville - D3 | ||
| Danville - D4 | ||
| Dummy - D1 | ||
| Dummy - D2 | ||
| Dummy - D3 | ||
| Dummy - D4 | ||
| Total Cost |
Customer 2 demand has a shortfall of 10000 .
Customer 3 demand of is not satisfied.
Feedback
Partially correct
The model is shown below

The formulas are shown below

The solver parameters are shown below

The result is shown below

Klein Chemicals, Inc., produces a special oil-based material that is currently in short supply. Four of...
please help! thank you!!
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Problem 6-06 Klein Chemicals, Inc., produces a special oil-based material that is currently in short supply. Four of Klein's customers have already placed orders that together exceed the combined capacity of Klein's two plants. Klein's management faces the problem of deciding how many units it should supply to each customer. Because the four customers are in different industries,...
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The last questions choices are customer 1,customer 2, customer
3, customer 4 demand has a shortfall
of 2000,4000,6000,8000,10000
customer 1, customer 2, customer 3, customer 4 demand of
2000,4000,6000,8000,10000
Klein Chemicals, Inc., produces a special oil-based material that is currently in short supply, Four of Klein's customers have already placed orders that together exceed the combined capacity of Klein's two plants. Klein's management faces the problem of deciding how many units it should supply to each customer. Because the four...
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