Quantitative Analysis for Decision Making: Group Assignment
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1. The 3F (Finfine Furniture Factory) produces chairs and tables from two resources labor and
wood. The factory has 80 hours of labor and 36 pounds of wood available each day. Demand
for chairs is limited to six per day. Each chair requires 8 hours of labor and 2 pounds of wood
to produce, while a table requires 10 hours of labor and 6 pounds of wood. The profit derived
from each chair is $400 and from each table, $100. The factory wants to determine the number
of chairs and tables to produce each day in order to maximize profit.
Required:
a) Formulate a linear programming model for this problem
b) Solve this model using graphical analysis
2. Suppose that a firm has three factories /sources of supply/ and four warehouses /point of
demand/. The firm's production capacity at the three factories, the demand for the four
distribution centers located at various regions & the cost of shipping each unit from the
factories to the warehouses through each route is given as follows:
Destinations (dd) =j
Origin Factory
W1 W2 W3 W4
(Supply) Capacity =i
Br.3 2 6
F1 5000
7
7 5 3 6000
F2
2
F3 2 5 5 2500
4
Requirements of the
Warehouses 6000 4000 2000 1500 13500
( Units of demand)
Using all the above information, Determine the initial feasible cost of transportation:
a) Using the Northwest corner methods
b) Least (minimum) cell cost method
c) Vogel’s Approximation methods
d) Find the optimal cost of transportation based on any of the above feasible solution by
using the modified distribution (U – V methods)
4. Mega Printing Press headquartered in Ambo, wants to assign three recently hired college
graduates, Marta, Bacha and Hirut to regional sales districts in Mekelle, Bahir Dare, and
Dire Dawa. The cost of assignment is given in the following matrix. Find the optimal
assignment.
Office
Mekelle Bahir Dare Dire Dawa
Hire
Marta Br.800 Br 1,100 Br 1,200
Becha Br. 500 Br 1,600 Br 1,300
Hirut Br. 500 Br 1,000 Br 2,300
AASTU Academic Year 2025/2026