A company orders gears in conditions identical to those considered in the economic order quantity (EOQ) model in inventory control. The annual demand is 8000 gears, the cost per order is 300 rupees, and the holding cost is 12 rupees per month per gear. The company uses an order size that is 25% more than the optimal order quantity determined by the EOQ model. The percentage change in the total cost of ordering and holding inventory from that associated with the optimal order quantity is
At the current basic feasible solution (bfs) $v_0 (v_0 \in \mathbb{R}^5)$, the simplex method yields the following form of a linear programming problem in standard form:
minimize $z = -x_1 - 2x_2$
s.t.
$x_3 = 2 + 2x_1 - x_2$
$x_4 = 7 + x_1 - 2x_2$
$x_5 = 3 - x_1$
$x_1, x_2, x_3, x_4, x_5 \geq 0$
Here the objective function is written as a function of the non-basic variables. If the simplex method moves to the adjacent bfs $v_1 (v_1 \in \mathbb{R}^5)$ that best improves the objective function, which of the following represents the objective function at $v_1$, assuming that the objective function is written in the same manner as above?
In a supplier-retailer supply chain, the demand of each retailer, the capacity of each supplier, and the unit cost in rupees of material supply from each supplier to each retailer are tabulated below. The supply chain manager wishes to minimize the total cost of transportation across the supply chain:
Retailer I | Retailer II | Retailer III | Retailer IV | Capacity | |
---|---|---|---|---|---|
Supplier A | 11 | 16 | 19 | 13 | 300 |
Supplier B | 5 | 10 | 7 | 8 | 300 |
Supplier C | 12 | 14 | 17 | 11 | 300 |
Supplier D | 8 | 15 | 11 | 9 | 300 |
Demand | 300 | 300 | 300 | 300 |
The optimal cost of satisfying the total demand from all retailers is _____ rupees (answer in integer).