Set No. 1

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Code No: N0301 Set No. 1

IV B.Tech I Semester Regular Examinations, November 2009
OPERATIONS RESEARCH
( Common to Mechanical Engineering, Mechatronics, Electronics &
Telematics, Production Engineering and Automobile Engineering)
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Time: 3 hours Max Marks: 80
Answer any FIVE Questions
All Questions carry equal marks
?????
1. (a) What is linear programming? What are major limitations and assumptions?
(b) A company produces two types of hats. Each hat of the first type requires
twice as much labour time as the second type. If all hats are of the second
type only, the company can produce a total of 500 hats a day. The market
limits daily sales of the first and second type to 150 and 250 hats. Assuming
that the profits per hat are Rs 8 for type A and Rs 5 for type B, formulate the
problem as a linear programming model in order to determine the number of
hats to be produced of each type so as to maximize the profit. [6+10]
2. A manufacturing company has three factories F1 , F2 and F3 with monthly man-

ufacturing capacities of 7,000, 4,000 and 10,000 units of a product. The product
is to be supplied to seven stores. The manufacturing costs in these factories are
slight different but the important factor is the shipping cost from each factory to
a particular store. Given in table 2 represents the factory capacities, store equip-
ments and units cost (in rupees) of shipping from each factory to each store. (Here,
slack is the difference between the total factory capacity and the total requirement).
Figure 2
Find the optimal transportation plan so as to minimize the transportation cost.
[16]
3. (a) Discuss the various methods of depreciation an asset.
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(b) The cost of a machine is Rs. 6,100 and its scrap value is only. The maintenance
costs are found from experience to be:
Year 1 2 3 4 5 6 7 8
Maintenance cost (Rs) 100 250 400 600 900 1,250 1,600 2,000
When should the machine be replaced? [6+10]
4. (a) In a game of matching coins with two players, suppose A wins one unit of
value when there are two tails and loses 1/ 2 unit of value when there is one
head an one tail. Determine the pay off matrix, the best strategies for each
player and the value of the game to A.
(b) Two players A and B showing each other, put on a table a coin, with head or
tail up. A wins Rs 8 when both the coins show head and Re 1 when both are
tails. B wins Rs 3 when the coins do not match. Given the choice of being
matching player (A) or non-matching player (B) which one would you choose
and what would be your strategy? [8+8]
5. A super market has two girls booking up sales at the counters. If the service time
from each customer is exponential with a mean of 4 minutes, and if people arrive
in a Poisson fashion at the rate of 10 an hour, find
(a) What is the probability of having an arrival has to wait for service?
(b) What is the expected percentage of idle time for each girl? [16]
6. A newspaper boy buys papers from Rs.1.40 and sells them for Rs.2.45 each. He
cannot return unsold newspapers. Daily demand has the following:
No. of Customers 25 26 27 28 29 30 31 32 33 34 35 36
Probability 0.03 0.05 0.05 0.1 0.15 0.15 0.12 0.1 0.1 0.7 0.6 0.02
If each day’s demand is independent of the previous day?s how many papers he
should order each day? [16]
7. A manufacturing firm has a contract to supply lathe chucks as per the following
schedule. The product made during a month will be supplied at the end of the
month. The setup cost is Rs.1,000, while the inventory carrying cost is Rs.1.00 per
piece per month. In which month should the batches be produced and of what size,
so that the total of setup and inventory carrying costs are minimized? [16]
Month No. of items

January 100
February 200
March 300
April 400
May 400
June 300
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8. By taking an example of simple queuing problem, explain phases of simulation.[16]
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OPERATIONS RESEARCH
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1. (a) Define model. Discuss the steps of modeling.

(b) Discuss the scope of OR. [8+8]
2. (a) State the transportation problem. Describe clearly the steps involved in solv-
ing it.
(b) A manufacturer wants to shiploads of his product given in figure 2. The matrix
gives the mileage from origin to destination. Shipping costs are Rs 10 per load
mile. What shipping scheduled should be used? [6+10]
www.andhracolleges.com Figure 2
3. The management of a large hotel is considering the periodic replacement of light
bulbs fitted in its rooms. There are 500 rooms in the hotel and each room has 6
bulbs. The management is now following the policy of replacing the bulbs as they
fails at a total cost of Rs 3 per bulb. The management feels that this cost can
be reduced to Re 1 by adopting the periodic replacement method, on the basis of
information given below, evaluate the alternative and make a recommendation to
the management.
[16]
Months of use : 1 2 3 4 5
Percent of bulbs failing by that month : 10 20 50 80 100
4. A game has the payoff matrix

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0 2
A=
1 1
Show that E(x,y)=1-2x(y-1/2) and deduce that in solution of the game the first
player follows a pure strategy while the second has infinite number of mixed strate-
gies. [8+8]
5. A repairman is to be hired to repair machines which break down at an average rate

of 3 per hour. The breakdowns follow Poisson distribution; Non-productive time of
a machine is to cost Rs.16 per hour. Two repairmen have been interviewed: one is
slow but cheap while the other is fast but expensive. The slow repairman charges
Rs. 8 per hour and he services broken-down machines at the rate of 4 per hour.
The fast repairman demands Rs.10 per hour and he services at an average rate of
6 per hour. Which repairman should be hired? [16]
6. Monthly demand for an item is 200 units. Ordering cost is Rs.350, inventory
carrying charge is 24% of the purchase price per year. The purchase prices are P1
= Rs.10 for purchasing Q1 < 500; P1 = Rs.9.25 for purchasing 500 ≤ Q2 ≤ 750
and P3 = Rs.8.75 for purchasing 750 ≤ Q3 .
Determine optimum purchase quantity. If the order cost is reduced to Rs.100 per
order, compute the optimum purchase quantity. [16]
7. Use DPP method to

Minimize Z = x2 +3x2 +4x3 .
Subject to
2x1 +4x2 +3x3 ≥ 60,
3x1 +2x2 +x3 ≥ 60
2x1 +x2 +3x3 ≥ 90 and
x1, x2 , x3 ≥ 0. [16]
8. How can simulation help to optimize the inventory? [16]
?????

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OPERATIONS RESEARCH
?????
1. (a) What are the advantages of using linear programming.

(b) A former has 100 acre farm. He can sell all tomatoes, lettuce, or radishes he
can raise. The price he can obtain is Rs 1.00 per kg for tomatoes, Rs 0.75 a
head for lettuce and Rs 2.00 per kg for radishes. The average yield per acre is
2000 kg of tomatoes, 3000 heads of lettuce and 1000 kgs of radishes. Fertilizer
is available at Rs 0.50 per kg and the amount required per acre is 100 kgs
each for tomatoes and lettuce, and 50 kgs for radishes. Labour required for
sowing and harvesting per acre is 5 man-days for tomatoes and radishes, and
6 man-days for lettuce. A total of 400 man-days of labour are available at
Rs 20.00 per man-day. Formulate this as a Linear-Programming model to
maximize the formers total profit. [6+10]
2. A company has factories at A, B and C which supply to the warehouses at D,

E ,F and G. The factory capacities are 230, 280 and 180, respectively for regular
production. If overtime production is utilized, the capacities can be increased to
300, 360 and 190, respectively. Increment unit overtime costs are Rs. 5, Rs. 4 and
Rs. 6, respectively. The current warehouse requirements are 165, 175, 205 and 165,
respectively. Unit shipping costs in rupees between the factories and the warehouse
are given in figure 2.
Determine the optimum distribution for the company to minimize costs. [16]
Figure 2
3. (a) Write a critical essay on replacement problems.
(b) The data collected in running a machine, the cost of which is Rs. 60,000, are

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given below :
Year : 1 2 3 4 5
Resale value (Rs) : 42,000 30,000 20,400 14,400 9,650
Cost of spares (Rs) : 4,000 4,270 4,880 5,700 6,800
Cost of labour (Rs) : 14,000 16,000 18,000 21,000 25,000
Determine the optimum period for replacement of the machine. [6+10]
4. (a) Solve the game whose pay off matrix is given in figure 4a
Figure 4a
(b) Solve the game whose pay off matrix is given in figure 4b.
[8+8]
www.andhracolleges.com Figure 4b
5. A T.V. repairman finds that the time spent on his jobs have an exponential distri-
bution with mean of 30 minutes. If he repairs sets in the order in which they come
in, and if the arrival of sets is approximately Poisson distribution with an average
rate of 10 per 8 hour day, what is repairmen’s expected idle time each day? How
many jobs are ahead of the average set just brought in? [16]
6. A newspaper boy buys papers from Rs.1.40 and sells them for Rs.2.45 each. He
cannot return unsold newspapers. Daily demand has the following:
No. of Customers 25 26 27 28 29 30 31 32 33 34 35 36
Probability 0.03 0.05 0.05 0.1 0.15 0.15 0.12 0.1 0.1 0.7 0.6 0.02
If each day’s demand is independent of the previous day?s how many papers he
should order each day? [16]

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7. Using Bellman’s principle of optimality,
Minimize Z = y1 + y2 + y3 + ...... + yn
Subject to y1 .y2 .y3 ......yn = b,
yi ≥ 0 ∀ i. [16]
8. What is significance of simulation? Discuss about application of simulation. [16]
?????
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OPERATIONS RESEARCH
?????
1. (a) What is meant by a feasible solution of an LP problem?

(b) A company produces two types of leather belts say A and B. Belt A is of
superior quality and B is inferior. Profits on the two are 40 and 30 paise per
belt, respectively. Each belt of type A requires twice as much time as required
by a belt of type B. If all the belts were of type B, the company could produce
1000 belts per day. But the supply of leather is sufficient only for 800 belts
per day. Belt A requires a fancy buckle and only 400 of them are available
per day. For belt B only 700 buckles are available per day. Solve this problem
to determine how many units of the two types of belts the company should
manufacture in order to have a maximum overall profit? [6+10]
2. ABC Limited has three production shops supply a product to five warehouse. The
cost of production varies from shop to shop and cost of transportation from one
shop to a warehouse also varies. Each shop has a specific production capacity and
each warehouse has certain amount of requirement. The costs of transportation are
given below:
I II III IV V Supply
A 6 4 4 7 5 100
B 5 3 7 4 8 125
C 3 4 6 3 4 175
Demand 60 80 85 105 70 400
The cost of manufacturing the product at different production shops is
Shop Variable Fixed Cost

A 14 7,000
B 16 4,000
C 15 5,000
Find the optimum quantity to be supplied from each shop to different warehouses
at minimum total cost. [16]
3. (a) Discuss in brief about replacement policy for the items that deteriorate with
time.
(b) A plant manager is considering replacement policy for a new machine. He

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estimates the following costs (all costs in rupees).
Year : 1 2 3 4 5 6
Replacement cost at the beginning of year 100 110 125 140 160 190
Resale value at the end of year: 60 50 40 25 10 0
Operating costs: 25 30 40 50 65 80
Find an optimal replacement policy and corresponding minimum cost. [6+10]
4. A company management and the labour union are negotiating a new three-year
settlement. Each of these has 4 strategies.
(a) Hard and aggressive bargaining

(b) Reasoning and logical approach
(c) Legalisitic strategy
(d) Conciliatory approach.
The costs to the company are given for every pair of strategy choice given in figure
4. [16]
www.andhracolleges.com Figure 4
5. A super market has two girls booking up sales at the counters. If the service time
from each customer is exponential with a mean of 4 minutes, and if people arrive
in a Poisson fashion at the rate of 10 an hour, find
(a) What is the probability of having an arrival has to wait for service?
(b) What is the expected percentage of idle time for each girl? [16]
6. An item is produced at the rate of 50 items per day. The demand occurs at the
rate of 25 items per day. If the setup cost is Rs.100 per setup and holding cost is
Re.0.01 per unit of item per unit of item per day. Find the economic lot size for
one run, assuming that shortages are not permitted. Also find the time of cycle
and minimum total cost for one run. [16]

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7. Solve the following problem:
Maximize Z = u21 + u22 + u23 ,
Subject to u1 2 . u2 2 . u3 2 = 6,
u1 , u2 , u3 all positive integers. [16]
8. Define simulation. Discuss about process of simulation. [16]
?????
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www.andhracolleges.

com The Complete Information About Colleges in Andhra Pradesh

Code No: N0301 Set No. 1

2. A manufacturing company has three factories F1 , F2 and F3 with monthly man-

3. (a) Discuss the various methods of depreciation an asset.

Seminar Topics - Scholarships - Admission/Entrance Exam Notifications

Code No: N0301 Set No. 1

Month No. of items

Code No: N0301 Set No. 1

Code No: N0301 Set No. 2

1. (a) Define model. Discuss the steps of modeling.

4. A game has the payoff matrix

Seminar Topics - Scholarships - Admission/Entrance Exam Notifications

Code No: N0301 Set No. 2

5. A repairman is to be hired to repair machines which break down at an average rate

7. Use DPP method to

8. How can simulation help to optimize the inventory? [16]

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Code No: N0301 Set No. 3

1. (a) What are the advantages of using linear programming.

2. A company has factories at A, B and C which supply to the warehouses at D,

Seminar Topics - Scholarships - Admission/Entrance Exam Notifications

Code No: N0301 Set No. 3

Determine the optimum period for replacement of the machine. [6+10]

Seminar Topics - Scholarships - Admission/Entrance Exam Notifications

Code No: N0301 Set No. 3

Code No: N0301 Set No. 4

1. (a) What is meant by a feasible solution of an LP problem?

Shop Variable Fixed Cost

Seminar Topics - Scholarships - Admission/Entrance Exam Notifications

Code No: N0301 Set No. 4

Find an optimal replacement policy and corresponding minimum cost. [6+10]

(a) Hard and aggressive bargaining

Seminar Topics - Scholarships - Admission/Entrance Exam Notifications

Code No: N0301 Set No. 4

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