Madda Walabu University

College of Business and Economics

Department of Management
Post graduate Studies
Course Title: QUANTITATIVE ANALYSIS FOR DECISION MAKING
Credit Hours: 3
Individual assignment max mark: 30%
Submission date: one week before final exam date

1. A store wants to liquidate 200 of its shirts and 100 pairs of pants from last season. They
have decided to put together two offers, A and B. Offer A is a package of one shirt and a
pair of pants which will sell for $30. Offer B is a package of three shirts and a pair of
pants, which will sell for $50. The store does not want to sell less than 20 packages of
Offer A and less than 10 of Offer B. How many packages of each do they have to sell to
maximize the money generated from the promotion? Use graphical method
2. With the start of school approaching, a store is planning on having a sale on school
materials. They have 600 notebooks, 500 folders and 400 pens in stock, and they plan on
packing it in two different forms. In the first package, there will be 2 notebooks, 1 folder
and 2 pens, and in the second one, 3 notebooks, 1 folder and 1 pen. The price of each
package will be $6.50 and $7.00 respectively. How many packages should they put
together of each type to obtain the maximum benefit? Use graphical method
3. On a chicken farm, the poultry is given a healthy diet to gain weight. The chickens have
to consume a minimum of 15 units of Substance A and another 15 units of Substance B.
In the market there are only two classes of compounds: Type X, with a composition of
one unit of A to five units of B, and another type, Y, with a composition of five units of
A to one of B. The price of Type X is $10 and Type Y, $30. What are the quantities of
each type of compound that have to be purchased to cover the needs of the diet with a
minimal cost? Use graphical method
4. There is only 600 milograms of a certain drug that is needed to make both large and small
pills for small scale pharmaceutical distribution. The large tablets weigh 40 milograms
and the small ones, 30 milograms. Consumer research determines that at least twice the
amount of the smaller tablets are needed than the large ones and there needs to be least
three large tablets made. Each large tablet is sold for a profit of $2 and the small tablet,
$1. How many tablets of each type have to be prepared to obtain the maximum profit?
Use graphical method
5. A farmer plans to mix two types of food to make a mix of low cost feed for the animals in
his farm. A bag of food A costs $10 and contains 40 units of proteins, 20 units of
minerals and 10 units of vitamins. A bag of food B costs $12 and contains 30 units of
proteins, 20 units of minerals and 30 units of vitamins. How many bags of food A and B
should the consumed by the animals each day in order to meet the minimum daily
requirements of 150 units of proteins, 90 units of minerals and 60 units of vitamins at a
minimum cost? Solve Graphically

6. A house wife wishes to mix two types of food F1 and F2 in such a way that the vitamin
contents of the mixture contain at least 8 units of vitamin A and 11 units of vitamin B.
 Food F1 costs E60/Kg and Food F2 costs E80/kg. Food F1 contains 3 units/kg of vitamin
A and 5 units/kg of vitamin B while Food F2 contains 4 units/kg of vitamin A and 2
units/kg of vitamin B. Formulate this problem as a linear programming problem to
minimize the cost of the mixtures. Use graphical method
7. A furniture company produces inexpensive tables and chairs. The production process for
each is similar in that both require a certain number of hours of carpentry work and a
certain number of labour hours in the painting department. Each table takes 4 hours of
carpentry and 2 hours in the painting department. Each chair requires 3 hours of
carpentry and 1 hour in the painting department. During the current production period,
240 hours of carpentry time are available and 100 hours in painting is available. Each
table sold yields a profit of E7; each chair produced is sold for a E5 profit. Find the best
combination of tables and chairs to manufacture in order to reach the maximum profit.
Use graphical method
8. Problem: In this problem, a patient visits the doctor to get treatment for ill health. The
doctor examines the patient and advises him to consume at least 40 units of vitamin A and
50 units of vitamin B daily for a specified time period. He also advises the patient that to
get vitamin A and vitamin B he has to drink tonic X and tonic Y that have both vitamin A
and vitamin B in a proportion. One unit of tonic X consists 2 units of vitamin A and 3
units of vitamin B and one unit of tonic Y consists of 4 units of vitamin A and 2 units of
vitamin B. These tonics are available in medical shops at a cost of birr.3.00 and birr 2.50
per unit of X and Y respectively. Now the problem of patient is how much of X and how
much of Y is to be purchased from the shop to minimise the total cost and at the same
time he can get required amounts of vitamins A and B. Use graphical method
9. An Air force is experimenting with three type of bombs P, Q and R in which three kinds
of explosive Viz. A, B and C will be used. Taking the various factors in to consideration,
it has been decided to use the maximum 600 KG of explosive A, at least 480 KG of
explosive B and exactly 540 of explosive C. bomb P requires 3, 2, 2 KG of A, B and C
respectively. Bomb Q requires 1, 4, 3 KG of A, B and C respectively. Bomb R requires 4,
2, 3 KG of A, B and C respectively. Now bomb P will give the equivalent of 2 tons of
explosive, bomb Q will give 3 tone explosive and bomb R will give 4 tone explosive.
Under what production schedule can the Air force make the biggest bang? Formulate
and convert in to standard form. Hint: mixed constraints (consider bolded words)
10. The Cannon Hill furniture Company produces tables and chairs. Each table takes four
hours of labor from the carpentry department and two hours of labor from the finishing
department. Each chair requires three hours of carpentry and one hour of finishing.
During the current week, 240 hours of carpentry time are available and 100 hours of
finishing time. Each table produced gives a profit of $70 and each chair a profit of $50.
How many chairs and tables should be made? solve using simplex method

Note: steps are mandatory in each questions