Problem: Simplon Manufacturing must decide on the processes to use to produce 1650 units. If machine 1 is used, its production will be between 300 and 1500 units. Machine 2 and/or machine 3 can be used only if machine 1's production is at least 1000 units. Machine 4 can be used with no restrictions.
Machine Fixed
cost Variable
cost Minimum
Production Maximum
Production
1 500 2.00 300 1500
2 800 0.50 500 1200
3 200 3.00 100 800
4 50 5.00 any any
HINT: Use an additional 0-1 variable to indicate when machines 2 and 3 can be used.
Formulate and solve this problem. Report answers below in spaces provided:
Problem Formulation (define variables, give objective function, give all constraints):
Optimal solution, AND objective function value: