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Linear Programming Models for Profit Maximization

This document presents 10 linear programming problems that involve maximizing profits or minimizing costs for different companies. Each problem describes the available resources and requirements to produce different products, and asks to determine the optimal quantity of each product to be produced in order to achieve the stated objective.

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0% found this document useful (0 votes)
11 views3 pages

Linear Programming Models for Profit Maximization

This document presents 10 linear programming problems that involve maximizing profits or minimizing costs for different companies. Each problem describes the available resources and requirements to produce different products, and asks to determine the optimal quantity of each product to be produced in order to achieve the stated objective.

Translated by

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Copyright
© All Rights Reserved
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University Institution of Envigado

LINEAR PROGRAMMING
Simplex Method Workshop

Performance criteria: Interpret contexts and propose mathematical models of Linear Programming that
let's find an optimal solution using the Simplex Method.

A furniture factory produces chairs, tables, and desks for which it has established that they yield a
contribution to the profits of $5,000, $8,000, and $6,000 per unit respectively. For the production of
According to these articles, the company has a weekly availability of 100 meters of wood, 150 meters of
tube and 120 hours of labor. A study has determined that to produce a chair it takes
requires 5 meters of wood, 3 meters of tube, and 4 hours of labor; to produce a table
it requires 3 meters of wood, 6 meters of tube, and 3 hours of labor; while to produce a
For the desk, 7 meters of wood, 4 meters of tube, and 3 hours of labor are required. Establish the model.
from linear programming in order to maximize the company's profits. What amount of each
What product should be manufactured?

A furniture factory has a weekly availability of 150 meters of tubing, 270 meters of wood, and
120 screws. With these resources, the company wants to manufacture double beds, single beds, and bunk beds.
which aims to sell for $49, $29, and $20 dollars per unit respectively. What quantity of each item
What should the company manufacture in order to maximize its income? It is known that a double bed consumes 9.
tube meters, 5 meters of wood and 8 screws; a single bed consumes 6 meters of tube, 3 meters of
wood and 4 screws; while a bunk bed consumes 13 meters of pipe, 9 meters of wood and 15
screws.

3. The company COQUITO operates as a retailer of clothing for men, women, and suits for children.
For which it has been established that they occupy a volume per unit of 0.05, 0.04, and 0.2 cubic meters.
respectively. It is also known that a men's suit costs $170,000, a women's suit costs
$200,000 and a suit for a child costs $80,000. Formulate the linear programming mathematical model that is
generates if it is known that there is a availability of 30 cubic meters for storage and $200,000,000 of
monthly budget. Assume that a men's suit is sold for $250,000, a women's suit is
vende en $260.000 y un traje para niño se vende en $120.000

4. Three products are processed: refrigerators, stoves, and washing machines, through three different operations. The
times (in minutes) required per unit of each product in each operation, the daily capacity of the
operations (in minutes per day)
they are as follows:

Time per unit (minutes) Capacity


Operation of
Refrigerator Stove Washing machine
operation
A 1 2 1 430
B 8 0 2 460
C 1 4 0 420

Profits per unit


3 2 5
millions of pesos

If all the produced units are sold, determine the optimal daily production for each product.
that maximizes the profit.
5. A company manufactures two products, A and B, on two machines, I and II. It has been determined that the company
You will earn a profit of $3 for each unit of product A and $4 for each unit of product B. For
To manufacture one unit of product A, 6 minutes are required on machine I and 5 minutes on machine II.
To manufacture one unit of product B, 9 minutes are required on machine I and 4 minutes on the machine.
II. There are 5 hours of time available on machine I and 3 hours on machine II in each shift.
work. How many units of each product should be produced in each shift to maximize profits
from the company? What is the maximum utility?

A prefabricated house company plans to offer three models: standard, elegant, and luxury. Each house
is partially prefabricated and assembled in the factory, and the final assembly is completed on site. The
amount in dollars of the necessary construction materials, the amount of labor needed and the
unit utility is shown below:

Model Model Model


standard elegant luxury
Materials $ 6,000 $8,000 $10,000
MO/ factory 240 220 200
MO/ in the place 180 210 300
Utility $3,400 $4,000 $5,000

For the first year of production, a budget of $8.2 million is allocated for materials.
construction; the number of hours of labor available to work in the factory does not exceed the
218,000 hours and the amount of labor to work on the site must be less than or equal to 237,000.
hours. Determine the number of houses of each type that the company must produce in order to
maximize utility.

A furniture factory produces two types of desks, Type I and Type II, in the cutting departments,
assembly and finishing. The number of hours available in each department are 80 hours, 220 hours, and 210 hours.
hours respectively. The hours required in production in each department for each type of
the desk is detailed in the following table:

Cut Armed Finished

Type I 1 hour 3 hours 2 hours

Type II 1 hour 2 hours 3 hours

The utility for each unit of type I and type II desks is 5 USD and 6 USD respectively.
How many units of each type should be produced monthly to maximize profit?

8. The shoe factory 'Epsilon' produces shoes for men and shoes for women at a cost of
$20,000 each of them. Furthermore, it has been established through market research that there will be
a minimum sale of 20 women's shoes and that the minimum sale between the two items will be 50
units. It is also known that there is a availability of 540 man-hours per week for the
production of said articles. What quantity of each type of shoe should be manufactured if it is known that
Producing a pair of men's shoes takes 6 hours, and a pair of women's shoes requires
9 hours?
9. The company Propapel S.A produces Bond paper for office in different sizes, letter and legal.
To produce them, two printing machines are used to give color, machines I and II. In the
Machine I requires 2 hours to produce a ton of letter size paper and 2 hours
for letter size paper; in machine II it requires 2 hours for the production of one
ton of letter-sized paper and 6 hours for a ton of legal-sized paper. Machine I,
For cost purposes, you can work a maximum of 8 hours, while machine II must work for
At least 12 hours. How many tons of letter and legal size paper must be produced daily?
In order to minimize the cost, if the cost per unit of each ton of paper is 1.5 and 2
dollars for letter and official document respectively?

10. Dextra Fuels produces gasoline and ACPM at a cost of 2000 and 4000 pesos per gallon.
respectively. Through a study, it has been established that to produce a gallon of gasoline one
It requires 4 man-hours of work, 6 hours of machines, and 8 liters of oil; while for
To produce a gallon of ACPM, 8 man-hours of work, 5 machine hours, and 10 liters are required.
oil. It is also known that in order to avoid underutilization of resources, consumption must occur
minimum 320 man hours and minimum 300 machine hours per month. What amount of each
What fuel should be produced? It is known that there is a monthly availability of 800 liters of oil.

Material for academic purposes taken from:


Soler Fajardo, F. Molina Focazzio, F. G. and Rojas Cortés, L. (2016). Linear algebra and linear programming: with
applications to administrative, accounting, and financial sciences. Third edition. Ecoe Editions.
Applied Mathematics to Business, Social Sciences, and Life
Linear Programming Applied

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