Sensitivity Analysis in Operations Research
Sensitivity Analysis in Operations Research
SENSITIVITY ANALYSIS
Gapco has a daily budget of 320 hours of labor and 350 units of raw material to manufacture two products. If
if necessary, the company can employ up to 10 hours of overtime labor daily, with an additional cost of $2 per
hour. It takes 1 hour of labor and 3 units of raw material to produce one unit of product 1, and 2 hours of labor
of work and 1 unit of raw material to produce one unit of product 2. The profit of product 1 is $10, and that of product 2
x1 x2 the daily quantity produced of products 1 and 2, respectively,
it's $12. Seany x3 and the daily extra hours used.
The linear programming model and its associated optimal simplex table are as follows.
If Gapco increases the price of product 1 so that the profit obtained from this product is $12. Determine
the new optimal solution.
g. If Gapco reduces the price of product 2 such that the profit obtained from this product is $8. Determine the
new optimal solution.
If Gapco produces a third product which requires 3 hours of labor and 5 units of raw material and the
the profit you will obtain from it is $12. Determine the new optimal solution.
If Gapco produces a third product that requires 2 hours of labor and 3 units of raw material and the
the benefit you will obtain from it is $10. Determine the new optimal solution.