MSA Computer Corporation manufacturers two models of minicomputers, the Alpha 4 and the Beta 5. The firm employs five technicians, working 160 hours each per month, on its assembly line. Management insists that full employment (i.e., all 160 hour of time) be maintained for each worker during next month’s operations. It requires 20 labor hours to assemble each Alpha 4 computer and 25 labor hours to assemble each Beta 5 model. MSA wants to see at least 10 Alpha 4s and at least 15 Beta 5s produced during the production period. Alpha 4s generate $1,200 profit per unit, and Beta 5s yield $1,800 each. Formulate a linear program that will enable MSA to determine the most profitable number of each model of minicomputer to produce during the coming month.
a) Define the decision variables.
b) What is the objective function?
c) Identify the constraints.
d) Use solver to identify the optimal number of Alpha 4s and Beta 5s to produce and the associated profit.
e) Obtain the Sensitivity Report .Interpret the Shadow Prices