3. Bloomington Publishers is considering publishing five different textbooks. The maximum number of copies of each textbook that can be sold, the variable cost of producing each textbook, the sales price of each textbook, and the fixed cost of a production run for each textbook are given in the file Prob3. For example, producing and selling 2000 copies of book 1 yields a revenue of $80(2000) = $160,000 but costs $80,000 + $44(2000) = $168,000. This company can produce at most 20,000 copies in total. Furthermore, it can publish no more than three different types of textbooks. Also, it knows that it cannot publish book 1 if it chooses to publish book 2. Finally, if this company publishes book 4 it must also publish book 5. Bloomington Publishers wants to find a production plan that maximizes total profit. Formulate and solve an integer programming model in Prob3 to help this publisher identify the best production plan.
Problem 3 | ||||||||||
Monetary data on types of books | ||||||||||
Book 1 | Book 2 | Book 3 | Book 4 | Book 5 | ||||||
Fixed cost | $80,000 | $60,000 | $100,000 | $120,000 | $160,000 | |||||
Variable cost | $44 | $36 | $40 | $30 | $50 | |||||
Selling price | $80 | $64 | $80 | $76 | $100 | |||||
Maximum demand | 6000 | 8000 | 8000 | 6000 | 10000 | |||||
Production plan | ||||||||||
Book 1 | Book 2 | Book 3 | Book 4 | Book 5 | ||||||
Total | Maximum Total Production (in copies) | |||||||||
Produced (in 1000s) | 20000 | |||||||||
Effective Demand (Logical upper bounds) | ||||||||||
(a) No more than three different books can be published. | ||||||||||
Number published | Max number | |||||||||
(b) If Book 4 is published, then Book 5 must be published. | ||||||||||
Book 4 | Book 5 | |||||||||
(c) If Book 2 is published, then Book 1 cannot be published. | ||||||||||
Book 2 | Book 1 | Sum | Max sum | |||||||
Summary of costs, revenue (all in $) | ||||||||||
Fixed cost | ||||||||||
Variable cost | ||||||||||
Revenue | ||||||||||
Profit | ||||||||||
Please show all excel forumlas and work. |
We need at least 10 more requests to produce the answer.
0 / 10 have requested this problem solution
The more requests, the faster the answer.
3. Bloomington Publishers is considering publishing five different textbooks. The maximum number of copies of each...
Waterway Wizard is a publishing company with a number of different book lines. Each line has contracts with a number of different authors. The company also owns a printing operation called Quick Press. The book lines and the printing operation each operate as a separate profit center. The printing operation cars revenue by printing books by authors under contract with the book lines owned by Waterway Wizard, as well as authors under contract with other companies. The printing operation bils...
l. Baxter's Books is considering an order for the latest thriller from author Jimmy Peterson. The store manager assumes that demand will be 50, 100, 150, or 200 copies next month and needs to decide whether to order 50, 100, 150, or 200 copies for that period. Each book will cost Baxter's $20 and can be sold for $30 Baxter will be able to send any unsold books back to the publisher for a refund of $5 each. According to...
1. Consumer’s utility function is: U (X,Y) = 10X + Y. Consumer’s income M is 40 euros, the price per unit of good X (i.e. Px ) is 5 euros and the price per unit of good Y (i.e. Py) is 1 euro. a) What is the marginal utility of good X (MUx) for the consumer? ( Answer: MUx = 10) b) What is the marginal utility of good Y (MUy) for the consumer? ( Answer: MUy = 1) c)...
I have this case study to solve. i want to ask which type of case study in this like problem, evaluation or decision? if its decision then what are the criterias and all? Stardust Petroleum Sendirian Berhad: how to inculcate the pro-active safety culture? Farzana Quoquab, Nomahaza Mahadi, Taram Satiraksa Wan Abdullah and Jihad Mohammad Coming together is a beginning; keeping together is progress; working together is success. - Henry Ford The beginning Stardust was established in 2013 as a...