Question #254476

A pharmaceutical company has 100 kg of A, 180 kg of B and 120 kg of C ingredients available

per month. The company can use these materials to make three basic pharmaceutical products

namely 5-10-5, 5-5-10 and 20-5-10, where the numbers in each case represent the percentage

of weight of A, B and C, respectively in each of the products. Further, in each of the products,

the remaining ingredient (apart from the ingredients A, B and C) is an inert ingredient. The

cost of these raw materials is as follows:


Ingredient Cost per kg (Rs)

A 80

B 20

C 50

Inert ingredient 20


The selling price of these products are Rs 40.5, Rs 43 and 45 per kg, respectively. There is a

capacity restriction of the company for product 5-10-5, because of which the company cannot

produce more than 30 kg per month. Determine how much of each of the products the company

should produce in order to maximize its monthly profits. Solve the problem using Simplex

method.


1
Expert's answer
2021-10-24T20:13:48-0400

Let P1, P2 and P3 be the three products to be manufactured. The data of the problem can

then be summarized in a table as follows:



Cost of P1 =5%×80+10%×20+5%×50+80%×20=4+2+2.50+16==5\%\times80+10\%\times20+5\%\times50+80\%\times20=4+2+2.50+16= Rs 24.50 per kg


Cost of P2 =5%×80+5%×20+10%×50+80%×20=4+1+5+16==5\%\times 80+5\%\times20+10\%\times50+80\%\times 20=4+1+5+16= Rs 26 per kg


Cost of P3 =20%×80+5%×20+10%×50+65%×20=16+1+5+13==20\%\times80+5\%\times20+10\%\times50+65\%\times20=16+1+5+13= Rs 35 per kg


Let x1,x2x_{1},x_{2} and x3x_{3} be the quantities to be manufactured (in kg) of P1, P2 and P3, respectively . The Linear Progression (LP) problem can then be formulated as;


Maximize (net profit) Z= (Selling price – Cost price)×\times (Quantity of product)


= (40.50 – 24.50) ×\times 1 + (43 – 26) ×\times 2 + (45 – 35) ×\times 3 = 16×\times 1 + 17×\times 2 + 10


subject to the constraints


120x1+120x2+120x3100\frac{1}{20}x_{1}+\frac{1}{20}x_{2}+\frac{1}{20}x_{3}\leq100 or x1+x2+x32,000x_{1}+x_{2}+x_{3}\leq2,000


110x1+120x2+120x3180\frac{1}{10}x_{1}+\frac{1}{20}x_{2}+\frac{1}{20}x_{3}\leq180 or 2x1+x2+x33,6002x_{1}+x_{2}+x_{3}\leq3,600


120x1+110x2+110x3120\frac{1}{20}x_{1}+\frac{1}{10}x_{2}+\frac{1}{10}x_{3}\leq120 or x1+2x2+2x32,400x_{1}+2x_{2}+2x_{3}\leq2,400


x130x_{1}\leq30


and x1,x2,x30x_{1},x_{2},x_{3}\ge0


Standard form : We Introduce slack variables S1,S2S_{1}, S_{2} and S3S_{3} to convert the given LP model into its standard form as follows:


Maximize Z = 16x1+17x2+10x3+Os1+Os2+Os3+Os416x_{1}+17x_{2}+10x_{3}+Os_{1}+Os_{2}+Os_{3}+Os_{4}


subject to the constraints;


x1+x2+4x3+s1=2,000x_{1}+x_{2}+4x_{3}+s_{1}=2,000


2x1+x2+x3+s2=3,6002x_{1}+x_{2}+x_{3}+s_{2}=3,600


x1+2x2+2x3+s3=2,400x_{1}+2x_{2}+2x_{3}+s_{3}=2,400


x1+s4=30x_{1}+s_{4}=30 and


x1,x2,x3,s1,s2,s3,s40x_{1},x_{2},x_{3},s_{1},s_{2},s_{3},s_{4}\ge0


Solving using simplex method:

An initial basic feasible solution is obtained by setting x1,x2,x3=0x_{1},x_{2},x_{3}=0 . Thus, the initial solution shown in the table below is: s1=2,000,s2=3,600,s3=2,400,s4=30s_{1}=2,000, s_{2}=3,600, s_{3}=2,400, s_{4}=30 and Max Z=0Z=0





Since c2z2=17c_{2}-z_{2}=17 in x2x_{2} - column is the largest positive value, we apply the following row operations

in order to get a new improved solution by entering variable x2x_{2} into the basis and removing variable s3s_{3}

from the basis.

R3 (new) \to R3 (old) ÷\div 2 ( key element) R1 (new) \to R1 (old) - R3 (new)

R2 (new) \to R2 (old) – R3 (new)


The new solution is shown in the table below.




The solution shown in this table is not optimal because c1z1>0c_{1}-z_{1}>0 in x1x_{1} - column. Thus, applying the

following row operations to get a new improved solution by entering variable x1x_{1} into the basis and removing the variable s4s_{4} from the basis, we get


R4 (new)\to R4 (old) ÷\div 1 ( key element); R1 (new) \to R1 (old) – (12\frac{1}{2} ) R4 (new)


R2 (new) \to R2 (old) – (32\frac{3}{2} ) R4 (new); R3 (new) \to R3 (old) – (12\frac{1}{2} ) R4 (new)


The new solution is shown in the table below.



Since all cjzj<0c_{j}​−z_{j}​<0 corresponding to non-basic variables columns, the current solution is an optimal

solution. Thus, the company must manufacture,x1x_{1} = 30 kg of P1, x2x_{2} = 1,185 kg of P2 and x3x_{3} = 0 kg of

P3 in order to obtain the maximum net profit of Rs 20,625


Need a fast expert's response?

Submit order

and get a quick answer at the best price

for any assignment or question with DETAILED EXPLANATIONS!

Comments

No comments. Be the first!
LATEST TUTORIALS
APPROVED BY CLIENTS