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The following linear programming problem has been written to plan the production of two products.The company wants to maximize its profits.
X1 = number of product 1 produced in each batch X2 = number of product 2 produced in each batch
MAX: 150 X1 + 250 X2
Subject to: 2 X1 + 5 X2 ≤ 200
3 X1 + 7 X2 ≤ 175 X1,X2 ≥ 0
How many units of resource one the first constraint) are used if the company produces 10 units of product 1 and 5 units of product 2?
Satisfy Demand
The ability of a company or market to meet the consumer demand for goods or services, either through current supply or production capacity.
Constrained Resource
A factor that limits the output of a process or the achievement of organizational goals, often critical in determining maximum production or service levels.
Special Order
An order for a product or service that is not part of the company's usual offerings or produced under unique specifications, often at a negotiated price.
Minimum Price
The lowest price at which a product or service can be sold, often set to cover costs or comply with legal requirements.
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