Math 540  Quantitative MAth
The production manager of Videotechnics Company is attempting to determine the upcoming 5month production schedule for video recorders. Past production records indicate that 2,000 recorders can be produced per month. An additional 600 recorders can be produced monthly on an overtime basis. Unit cost is $10 for recorders produced during regular working hours and $15 for those produced on an overtime basis. Contracted sales per month are as follows:
Month 
Contracted Sales (units) 
1 
1200 
2 
2100 
3 4 5 
2400 3000 4000 
Inventory carrying costs are $2 per recorder per month. The manager does not want any inventory carried over past the fifth month. The manager wants to know the monthly production that will minimize total production and inventory costs.
a. Formulate a linear programming model for this problem.
b. Solve the model by using the computer.
c) Answer all highlighter sections
Videotechnics Company (Multi Production and Inventory)  
Let Ri = Regular production in month I, where I = 1,2,3,4,5 
Cost for recorders produced during regular working hours is $10  
Oi = Overtime production in month I, where I = 1,2,3,4,5 
Cost for recorders produced during regular working hours is $15  
I_i = Inventory at end of month I, where I = 1,2,3,4  
R1 
<= 
2000 
O1 
<= 
600 
I_1  
R2 
<= 
2000 
O2 
<= 
600 
I_2  
R3 
<= 
2000 
O3 
<= 
600 
I_3  
R4 
<= 
2000 
O4 
<= 
600 
I_4  
R5 
<= 
2000 
O5 
<= 
600  
Month  
1 
= 
1200  
2 
= 
2100  
3 
= 
2400  
4 
= 
3000  
5 
= 
4000  
Objective function  

Rating:
5/