Question

Decision Variable Cells Final Reduced Objective Allowable Allowable Cell SCS4 Number to produce Generators SDS4 Number to produce Alternators Name Value Cost Coefficient Increase Decrease E+30 150.0000001 1E+30 130 250 150 225 225 Constraints Fina Shadow Constraint Allowable Allowable Value Cell SES8 Wiring Used SES9 Testing Used Name Price R.H. Side Increase Decrease 260 130 125 260 140 20 1E+30 260 10

X1=130 and X2=0, optimal profit 32,500

Using the solver report and the sensitivity report answer the question below. Please show your work:

Assume the marginal profit on the generators will decrease by $25.00. Without solving the problem again, what is the optimal profit for the company now?

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Answer #1

Since allowable decrease for generators is 150
25 < 150
profit will be (250 - 25) * 130 + 0 *150
= 29250

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