Hire-A-Car System Rents Three Types of Cars at Two Different

question 46

Essay

Hire-a-Car System rents three types of cars at two different locations. The profit contribution made per day for each car type at each location is listed below. $$\begin{array} { | l | c | c | c | } \hline & & { \text { Car Type } } \\\hline \text { Location } & \text { Economy } & \text { Mid-size } & \text { Luxury } \\\hline \text { A } & \$ 25 & \$ 40 & \$ 10 \\\hline \text { B } & \$ 30 & \$ 35 & \$ 45 \\\hline\end{array}$$ ​
The management forecasts the demand per day by car type as follows: 125 rentals for Economy cars, 55 rentals for Mid-size cars, and 40 rentals for Luxury cars. The vehicle capacity of each location is 100 cars in location A and 120 cars in location B.
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Develop a linear programming model to maximize profit and determine how many reservations each location should accept for each type of car. Is the demand for any car type not satisfied? Explain.

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