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Taco Loco Is Considering a New Addition to Their Menu  Variable Cells \text { Variable Cells }

question 20

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Taco Loco is considering a new addition to their menu. They have test marketed a number of possibilities and narrowed them down to three new products, X, Y, and Z. Each of these products is made from a different combination of beef, beans, and cheese, and each product has a price point. Taco Loco feels they can sell an X for $17, a Y for $13, and a Z for $14. The company's management science consultant formulates the following linear programming model for company management.
Max R = 14Z + 13Y + 17X
subject to:
Beef 2Z + 3Y + 4X ≤ 28
Cheese 9Z + 8Y + 11X ≤ 80
Beans 4Z + 4Y + 2X ≤ 68
X,Y,Z ≥ 0
The sensitivity report from the computer model reads as follows:
 Variable Cells \text { Variable Cells }
 Cell  Name  Final  Value  Reduced  Cost  Objective  Coefficient  Allowable  Increase  Allowable  Decrease  $C$4 Z1.450140.635.33 $D$4  Y 8.3601380.56 $E$4 X00.818170.8181E+30\begin{array}{ccccccc}\hline \text { Cell } & \text { Name } & \begin{array}{c}\text { Final } \\\text { Value }\end{array} & \begin{array}{c}\text { Reduced } \\\text { Cost }\end{array} & \begin{array}{c}\text { Objective } \\\text { Coefficient }\end{array} & \begin{array}{c}\text { Allowable } \\\text { Increase }\end{array} & \begin{array}{c}\text { Allowable } \\\text { Decrease }\end{array} \\\hline \text { \$C\$4 } & \mathrm{Z} & 1.45 & 0 & 14 & 0.63 & 5.33 \\\hline \text { \$D\$4 } & \text { Y } & 8.36 & 0 & 13 & 8 & 0.56 \\\hline \text { \$E\$4 } & \mathrm{X} & 0 & -0.818 & 17 & 0.818 & 1 \mathrm{E}+30 \\\hline\end{array}

 Constraints \text { Constraints }
 Cell  Name  Final  Value  Shadow  Price  Constraint  R.H. Side  Allowable  Increase  Allowable  Decrease  $F$6  Beef 280.4528210.22 $F$7  Cheese 801.4580465.33 $FS8  Beans 39.270681E+3028.73\begin{array}{llccccc}\hline \text { Cell } & {\text { Name }} & \begin{array}{c}\text { Final } \\\text { Value }\end{array} & \begin{array}{c}\text { Shadow } \\\text { Price }\end{array} & \begin{array}{c}\text { Constraint } \\\text { R.H. Side }\end{array} & \begin{array}{c}\text { Allowable } \\\text { Increase }\end{array} & \begin{array}{c}\text { Allowable } \\\text { Decrease }\end{array} \\\hline \text { \$F\$6 } & \text { Beef } & 28 & 0.45 & 28 & 2 & 10.22 \\\hline \text { \$F\$7 } & \text { Cheese } & 80 & 1.45 & 80 & 46 & 5.33 \\\hline \text { \$FS8 } & \text { Beans } & 39.27 & 0 & 68 & 1 \mathrm{E}+30 & 28.73 \\\hline\end{array}
-Taco Loco is unsure whether the amount of beef that their computer thinks is in inventory is correct. What is the range in values for beef inventory that would not affect the optimal product mix?


Definitions:

Globalization

The process of interaction and integration among people, companies, and governments worldwide, largely influenced by trade and investment and facilitated by information technology.

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The act of traveling to countries that are not one's own, often for vacation, work, or study purposes.

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An increase in the production of goods and services in an economy over a period, often measured by Gross Domestic Product (GDP) growth.

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The act of nullifying the obligation to repay borrowed money, often in the context of financial relief for individuals or countries.

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