Tjs Product Mix

Topics: Problem solving, Mathematics, Optimization Pages: 2 (260 words) Published: November 18, 2012
Summary of the Problem:
TJ’s, Inc., makes three nut mixes for sale to grocery chains located in the Southeast. The three mixes, referred as the Regular Mix, Deluxe Mix, Holiday Mix. Now TJ’s is committed to using the available nuts to maximize profit of the fall seasons, and they must satisfy the received orders.

Problem Solving Approach:
This problem was solved using Excel Solver LP Programming. The decision variables are pounds of each type of Mix. The objective function was a formula of profit contribution for each Mix. The constraints are the nuts purchased the following shipment and the orders that need to be satisfied. The following summarizes the variables and coefficients of the mathematical model: Variable or CoefficientUnit of MeasureDescription

RPoundsPounds of Regular Mix
DPoundsPounds of Deluxe Mix
HPoundsPounds of Holiday Mix
DescriptionRegularDeluxe HolidayShipment amountCost per shipment Orders (Pounds)1000030005000
Almond Consist percentage0.15 0.20 0.25 60007500
Brazil Consist percentage0.25 0.20 0.15 75007125
Filbert Consist percentage0.25 0.20 0.15 75006750
Pecan Consist percentage0.10 0.20 0.25 60007200
Walnut Consist percentage0.25 0.20 0.20 75007875
Profit (Dollars)
( Not include cost of nuts) 1.6522.25

The following is the mathematical formulation of the problem: Maximize1.65R+2D+2.25HObjective function
Subject to:
0.15R+0.2D+0.25H= 10000
Deluxe 10625>= 3000
Holiday5000>= 5000

Constrains2Nuts Used Available
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