Formulate the problem as a linear program


Premier Consulting has two consultants, Avery and Baker, who can be scheduled to work for clients up to a maximum of 160 hours each over the next four weeks.  A third consultant, Campbell, has some administrative assignments already planned and is available for clients up to a maximum of 140 hours over the next four weeks.  The company has four clients with projects in process.  The estimated hourly requirements for each of the clients over the four-week period are

Client

Hours

A

180

B

75

C

100

D

85

Hourly rates vary for the consultant-client combinations and are based on several factors, including project type and consultant's experience.  The rates (dollar per hour) for each consultant-client combination are

Consultant

Client A

Client B

Client C

Client D

Avery

100

125

115

100

Baker

120

135

115

120

Campbell

155

150

140

130

Formulate the problem as a linear program, with the optimal solution providing the hours each consultant should be scheduled to work for each client in order to maximize the consulting firm's billings.  What is the schedule and what is the total billing?

New information shows that Avery doesn't have the experience to be scheduled for Client B.  If this assignment is not permitted, what impact does it have on total billings?  What is the revised schedule?

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Accounting Basics: Formulate the problem as a linear program
Reference No:- TGS0511611

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