2.) A company manufactures two types of products, A and B. Theunit revenues are $2 and $3, respectively. Two raw materials M1 andM2, used in the manufacture of the two products have dailyavailabilities of 4 and 6 units, respectively. One unit of A uses 1unit of M1 and 1 unit of M2, and one unit of B uses 1 unit of M1and 2 units of M2.
a) Formulate a linear programming model and obtain the optimalsolution using the graphical method.
b) Recall that shadow/dual price is the change in the objectivefunction for every unit change in the right hand side of theconstraint. Find shadow/dual price for the first constraint in yourmodel. Find also the range where this shadow price remainsvalid.
c) Repeat part (b) for the second constraint.
d) If M2 availability is increased by 2 units, determine theassociated optimal revenue.
e) Suppose that 2 additional units of M2 can be acquired at thecost of 30 cents per unit. Would you recommend the additionalpurchase?
f) Let c1 and c2 be the prices of products A and B,respectively. Find the optimality range of the ratio c1/c2 thatwill keep the optimum solution unchanged at the pivot point (2,2).
g) Ask solver to produce the sensitivity report and print it andturn in along with your homework
