Problem regarding drug produced in year


Question: Drug produced in year i can be used to meet demand in year i. Drug can also be produced in year i, stored, and used later. However, 15% of drugs put in storage is lost to wastage each year. So if 100 milliliters (ml) are stored in year i, only 85 ml are available in year i + 1. It costs $15/ml/year to store drug (paid on the ml of drugs put into storage). The storage capacity of the facility is 40,000 ml, i.e. there can't be more than 40,000 ml of drug stored at any given time. Drug production is 2 ml of drug per labor hour.

 

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