TOSSA COLLEGE OF ECONOMIC DEVELOPMENT

Group Assignment for the course Quantitative Analysis for Managerial Decision
Making (Operations Research) (50%)

Instructions:

 All group member should participate equally.

 Each group should work all the given questions.
 Please write your report with Times New roman font type a 1.5 Line spacing and with 12
font size or you can submit your hand written solution.
 Please submit your assignment with soft copy to the college.
 Dead line will be decided by the college coordinator.
 Please don’t copy other group’s work.

1. Brothers Biscuit and Flour Company makes a cereal from several ingredients. Two of the
ingredients, oats and rice, provide vitamins A and B. The company wants to know how many
ounces of oats and rice it should include in each box of cereal to meet the minimum
requirements of 48 milligrams of vitamin A and 12 milligrams of vitamin B while
minimizing cost. An ounce of oats contributes 8 milligrams of vitamin A and 1 milligram of
vitamin B, whereas an ounce of rice contributes 6 milligrams of A and 2 milligrams of B. An
ounce of oats costs $5, and an ounce of rice costs $3.
a. Formulate a linear programming model for this problem.

a. The objective is to minimize cost, and the constraints are to meet the minimum
requirements of vitamins A and B.

Let ( x ) be the number of ounces of oats and ( y ) be the number of ounces of rice.

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The objective function to minimize cost is:

Minimize C = 5x + 3y

Subject to the following constraints:

1. Vitamin A constraint: Oats contribute 8 mg/oz and rice contributes 6 mg/oz.

8x + 6y >= 48

2. Vitamin B constraint: Oats contribute 1 mg/oz and rice contributes 2 mg/oz.

x + 2y >= 12

3. Non-negativity constraint:

[ x, y >=0 ]

b. To solve the model graphically, we'll plot the feasible region defined by the constraints
and find the corner points to determine the minimum cost.

Let's start by plotting the constraints:

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 1. \( 8x + 6y \geq 48 \)

Rewrite it as \( y \geq -\frac{4}{3}x + 8 \).

2. \( x + 2y \geq 12 \)

Rewrite it as \( y \geq -\frac{1}{2}x + 6 \).

Let's plot these lines on a graph and shade the feasible region. Then, we'll find the corner
points to determine the minimum cost.

b. Solve this model by using graphical analysis.

2. Addis Fertilizer Company makes a fertilizer using two chemicals that provide nitrogen,
phosphate, and potassium. A pound of ingredient 1 contributes 10 ounces of nitrogen and 6
ounces of phosphate, while a pound of ingredient 2 contributes 2 ounces of nitrogen, 6
ounces of phosphate, and 1 ounce of potassium. Ingredient 1 costs $3 per pound, and
ingredient 2 costs $5 per pound. The company wants to know how many pounds of each
chemical ingredient to put into a bag of fertilizer to meet the minimum requirements of 20
ounces of nitrogen, 36 ounces of phosphate, and 2 ounces of potassium while minimizing
cost.

a. Formulate a linear programming model for this problem.

b. Solve this model by using Simplex analysis.

3. Shewa Bakery makes coffee cakes and Danish pastries in large pans. The main ingredients
are flour and sugar. There are 25 pounds of flour and 16 pounds of sugar available, and the
demand for coffee cakes is 5. Five pounds of flour and 2 pounds of sugar are required to
make a pan of coffee cakes, and 5 pounds of flour and 4 pounds of sugar are required to
make a pan of Danish. A pan of coffee cakes has a profit of $1, and a pan of Danish has a
profit of $5. Determine the number of pans of cakes and Danish to produce each day so that
profit will be maximized.

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 a. Formulate a linear programming model for this problem.
b. Solve this model by using graphical analysis.

4. Solve the following linear programming model by using simplex method:

Maximize Z: 3x1 + 6x2

Subject to: 3x1 + 2x2 ≤ 18

X1 + x2 ≥ 5
X1 ≤ 4
X1, X2 ≥ 0

5. Dalol Restaurant has an ice-cream counter where it sells two main products, ice cream and
frozen yogurt, each in a variety of flavors. The restaurant makes one order for ice cream and
yogurt each week, and the store has enough freezer space for 115 gallons total of both
products. A gallon of frozen yogurt costs $0.75 and a gallon of ice cream costs $0.93, and the
restaurant budgets $90 each week for these products. The manager estimates that each week
the restaurant sells at least twice as much ice cream as frozen yogurt. Profit per gallon of ice
cream is $4.15, and profit per gallon of yogurt is $3.60.

a. Formulate a linear programming model for this problem.

b. Solve this model by using graphical analysis.

6. Solve the following linear programming model by using simplex method and explain the
solution result:

7. Solve the following LP Model by using a simplex Method and check your answer by using
the graphic Method?

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8. Consider the balanced transportation costs tableau of the following problem

Required:
a. Formulate the LP model?
b. Calculate the initial feasible solution by using NWCM?
c. Calculate the initial feasible solution by using LCM?
d. Calculate the initial feasible solution by using VAM?
9. For the transportation problem given by the following tableau, find an initial basic feasible solution
by the North-West corner method and then find an optimal solution.

10. Five warehouses are supplied by four factories. The supply available from each factory, the demand
at each warehouse and the cost per unit of transporting goods from the factories to the warehouses are
summarized in the following table:

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a. Use the North-West Corner method to find an initial basic feasible solution of this problem. (Do
NOT use the Least-Cost method.)
b. Find the optimal solution of this problem, i.e. the solution that minimizes the transportation costs,
clearly showing and explaining your working.
11. Given a transportation problem with the following costs, supply, and demand, find the initial
solution using the minimum cell cost method and Vogel’s approximation model. Is the VAM
solution optimal?

12. Consider the following transportation problem:

A. Find the initial solution by using VAM and then solve it using the stepping-stone method.

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 B. Formulate this problem as a general linear programming model.
13. Given the following cost table for an assignment problem, determine the optimal assignment
and compute total minimum cost. Identify all alternative solutions if there are multiple
optimal solutions.

14. An electronics firm produces electronic components, which it supplies to various electrical
manufacturers. Quality control records indicate that different employees produce different
numbers of defective items. The average number of defects produced by each employee for
each of six components is given in the following table. Determine the optimal assignment
that will minimize the total average number of defects produced by the firm per month.

15. The following transportation problem is given to maximize the profit of an organization.
Please find the maximum profit by using the stepping stone and MODI methods and compare
the result?

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16. You are given the following network diagram;

2 4 4
3

6
5
1 10

3 15

A. Find all paths in the diagram?

B. Find the critical path?
C. Find the path slack?
D. Calculate the ES, EF, LS and LF times of each activities?
E. Calculate the activity slack for all activities?
17. The following table contains different activities for publishing a book, which requires 27
weeks and 10 activities.

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Required:

A. Draw the network diagram for the above table?

B. Find all paths in the diagram?
C. Find the critical path?
D. Find the path slack?
E. Calculate the ES, EF, LS and LF times of each activities?
F. Calculate the activity slack for all activities?
18. Ardi Manufacturing Company is in the process of preparing a budget for launching a new
product. The following table provides the associated activities and their durations.

A. Draw the network diagram for the above table?

B. Find all paths in the diagram?
C. Find the critical path?
D. Find the path slack?
E. Calculate the ES, EF, LS and LF times of each activities?
F. Calculate the activity slack for all activities?

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19. Construct the project network comprised of activities A to L with the following precedence
relationships; Please specify activity times by yourself.

A. Find all paths in the diagram?

B. Find the critical path?
C. Find the path slack?
D. Calculate the ES, EF, LS and LF times of each activities?
E. Calculate the activity slack for all activities?

20. Construct the project network comprised of activities A to P that satisfies the following
precedence relationships: Please specify activity times by yourself.

A. Find all paths in the diagram?

B. Find the critical path?
C. Find the path slack?
D. Calculate the ES, EF, LS and LF times of each activities?
E. Calculate the activity slack for all activities?

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