types of photographic developing fluids

An Introduction to Management Science

Photo chemicals produces two types of photographic developing fluids. Both products cost photo chemicals $1 per gallon to produce. Based on an analysis of currentinventory levels and outstanding orders for the next month, photo chemicals’ management specified that at least 30 gallons of product 1 and at least 20 gallons ofproduct 2 must be produced during the next two weeks. Management also stated that an existing inventory of highly perishable raw material required in the production ofboth fluids must be used within the next two weeks. The current inventory of the perishable raw material is 80 pounds. Although more of this raw material can beordered if necessary, any of the current inventory that is not used within the next two weeks will spoil-hence, the management requirement that at least 80 pounds beused in the next two weeks. Furthermore, it is known that product 1 requires 1 pound of this perishable raw material per gallon and product 2 requires 2 pounds of rawmaterial per gallon. Because photo chemicals’ objective is to keep its production cost at the minimum level, the firms management is looking for a minimum costproduction plan that uses all the 80 pounds of perishable raw material and provides at least 30 gallons of product 1 and at least 20 gallons of product 2. Formulate alinear programming model. Find the solutions using Excel Solver.