Meredith Ribbon Company Produces Paper and Fabric Decorative Ribbon That

question 49

Essay

Meredith Ribbon Company produces paper and fabric decorative ribbon that it sells to paper products companies and craft stores.The demand for ribbon is seasonal.Information about projected demand and production for a particular type of ribbon is given. ​
An inventory holding cost of $0.005 is levied on every yard of ribbon carried over from one quarter to the next.
a.Define the decision variables needed to model this problem.
b.The objective is to minimize total cost,the sum of production and inventory holding cost.Give the objective function.
c.Write the production capacity constraints.
d.Write the constraints that balance inventory,production,and demand for each quarter.Assume there is no beginning inventory in quarter 1.
e.To attempt to balance the production and avoid large changes in the workforce,production in period 1 must be within 5000 yards of production in period 2.Write this constraint.
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Definitions:

Farm Subsidies

Financial assistance granted by the government to farmers that aims to supplement their income and manage the supply of agricultural commodities.

Family Farms

Small-scale agricultural operations owned and operated by families, often passed down through generations.

Economic History

The study of economies or economic phenomena of the past, analyzing historical methods, practices, and changes in economies over time.

Okies

A term used to describe migrants from Oklahoma and surrounding states, especially during the Dust Bowl period of the Great Depression.