Math Problem Statement

Two oil refineries each produce three grades of petroleum, AA, BBand CC.

At each refinery, the various grades of petroleum are produced in a single operation so that they are in fixed proportions. One operation at Refinery 1 produces 2 units of AA, 1 unit of BBand 5 units of CC. One operation at Refinery 2 produces 5 units of AA, 1 unit of BBand 2 units of CC. Refinery 1 charges $350 for one operation, and Refinery 2 charges $200 for one operation. A consumer needs at least 540 units of AA, 180 units of BBand 420 units of CC. How should the orders be placed if the consumer’s needs are to be met most economically?

(a) What can the manager ask for directly?

Amount of BB

Amount of AA

Number of operations at Refinery 1

Amount of CC

Number of operations at Refinery 2

The manager orders xxoperations at Refinery 1 and yyoperations at Refinery 2. (b) Enter the total amount of AAproduced, as a function of xxand yy.  

(c) Enter the total amount of BBproduced, as a function of xxand yy.  

(d) Enter the total amount of CCproduced, as a function of xxand yy.  

(e) Each grade of oil, AA, BBand CC, gives an inequality in xxand yy. Plot these inequalities on a graph. Enter the coordinates of the corners of the feasible region (the feasible basic solutions). Enter them in increasing order of their xx-coordinate. For example, if one feasible basic solution is x=1,y=2x=1,y=2; another is x=5,y=0x=5,y=0and a third is x=2,y=3x=2,y=3, you would enter (1,2), (2,3), (5,0)

Solution

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Math Problem Analysis

Mathematical Concepts

Linear Programming
System of Inequalities
Graphical Method

Formulas

AA(x, y) = 2x + 5y
BB(x, y) = x + y
CC(x, y) = 5x + 2y
Cost Function: 350x + 200y

Theorems

Graphical Method for Linear Programming
Inequality Constraints

Suitable Grade Level

Undergraduate level (Optimization, Linear Algebra)