Assignment:
A company produces three products A, B, and C. The company cannot sell more than 75 units of A per day. All three products use one raw material. Its daily availability is 240 lb. Each unit of A, B, and C uses 2 lb, 4 lb, and 3 lb of this raw material, respectively. The unit prices for A, B, and C are $19, 50, and $33, respectively. The sales volume (units) for A is at least 50% of the total sales volume (units) for all three products.
- Formulate an LP to determine the optimal product mix for the company that maximizes its daily revenue.
- Use GAMS to find the optimal solution and optimal value.
- What is the shadow price of the constraint that guarantees the use of raw material does not exceed its daily availability?
- If the daily availability for the raw material becomes 238 lb, what is the company's maximum daily revenue?
Your answer must be typed, double-spaced, Times New Roman font (size 12), one-inch margins on all sides, APA format and also include references.