Problem: KAK MarketData, Inc. is in the business of evaluating consumer response to products. A client’s contract calls for door-to-door personal interviews with the following requirements:
1. Interview at least 50 households with no senior citizens
2. Interview at least 50 households with senior citizens
3. At least 50% of the households should be contacted at night
4. At least 60% of the households with senior citizens should be contacted at night
5. At least 250 households should be contacted
Based on its current practices, KAK MarketData utilizes the following structure to calculate its costs:
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Day Interview Cost
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Night Interview Cost
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No Senior Citizens in Household
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$6
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$8
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With Senior Citizens in Household
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$10
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$8
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1. Formulate an LP model that will allow KAK MarketData to determine how to conduct the necessary interviews to fulfill the client’s contract at minimal cost. Clearly define your decision variables, your objective function, and your constraints
2. Using Excel Solver, solve the LP. Place your solution in the space below. Clearly identify the values of your decision variables and the cost associated with your interview schedule.