You have been hired as a consultant to advise Sandbaggers, Inc.,a company that purchases silica sand, cleans it, and then sells thesilicon dioxide to manufacturers of computer chips. Sandbaggers,Inc., operates two cleaning plants: Plant A and Plant B.
They obtain their supply of silica sand from three independentsuppliers (Sand Solutions, Dirt Dudes, and Terra Firma) who arewilling to supply the sand in the following amounts and at thefollowing prices:
Supplier | # of Tons | Cost per Ton |
Sand Solutions | 200 | $10 |
Dirt Dudes | 300 | $9 |
Terra Firma | 400 | $8 |
Shipping costs in dollars per ton from each supplier to each ofthe plants are as follows:
| Shipping Cost per Ton |
From | To Plant A | To Plant B |
Sand Solutions | $1 | $1.50 |
Dirt Dudes | $2 | $2.50 |
Terra Firma | $5 | $3 |
Labor costs at each of the plants are as follows:
| Plant A | Plant B |
Labor Cost | $25/ton | $20/ton |
Plant capacities are as follows:
| Plant A | Plant B |
Maximum Capacity | 450 tons | 550 tons |
The cleaned and processed silicon dioxide is sold at $50 per tonto the chip manufacturers. Sandbaggers, Inc., can sell all they canproduce.
Determine how Sandbaggers, Inc. should plan its operation at thetwo plants to maximize its profit. The executives of Sandbaggers,Inc. would also like to know whether or not both plants are able tooperate at maximum capacity and whether they should look foradditional suppliers based on your analysis. Prepare a report forthe Sandbaggers, Inc. executives detailing your plan and addressingtheir questions regarding plant capacity and suppliers.
1-An explanation of how you set up the problem and arrived atyour answers. This should include:
- A list of your decision variables and what they represent
- Your objective function, what it represents, all math used toobtain it, and a brief explanation of your math
- All constraints, what they represent, and a brief explanationof how you determined the constraints
2-CAN I HAVE THE SOLUTION DONE WITH SIMPLEX METHOD ???