Use the information to answer the next few questions Cully f

Use the information to answer the next few questions

Cully furniture buys 2 products for resale: big shelves and medium shelves (M). Each big shelf cats $500 and requires 100 cubic feet of storage space, and for each medium shelf costs $350 and required 90 cubic feet of storage space. The company has $75,000 to invest in shelves this week, and the warehouse has 18,000 cubic feet available for storage. Profit for each big shelf is $300 and for each medium shelf is $150.

1) This is a minimization model

A) True

B) False

2) The model should be classified as deterministic

A) True

B) False

3) The budget constraint is

A) Z = 300B + 150M

B) Z = 300B + 150S

C) 100B + 90M <= 18,000

D) Z = 500B + 350M

E) 300B + 150M <= 75,000

F) 100B + 90S <= 18,000

G) 500B + 350M <= 75,000

H) Z = 150B + 300M

4) What is the storage constraint?

A) 300B + 150M <= 18,000

B) 100B + 90M <= 18,000

C) 100B + 90M >= 18,000

D) 300B + 150M >= 18,000

5) The model has how many decision variables

A) 4

B) 3

C) 1

D) 2

6) The quantity for the above models big shelves only alternative is

A) 0

B) 214.29

C) 180

D) 200

E) 150

7) The amount of budget slack generated by the models medium shelves only solution is

A) 3,000

B) 5,000

C) 200

D) 70,000

E) 0

8) The quantity for the above models medium shelves only alternative is

A) 0

B) 180

C) 214.29

D) 200

E) 150

9) The medium shelves quantity for the above models optimal solution is

A) 150

B) 200

C) 0

D) 214.29

E) 180

10) The big shelves quantity for the above models optimal solution is

A) 0

B) 214.29

C) 180

D) 150

E) 200

Solution

1. B) The given statement is False because the profit is given for this problem and one has to maximize the profit.

2. A) The model should be classified as deterministic, since all of the values can be known with certainty. There is not any probability associated with the problem.

3. G) 500B + 350M <= 75,000

4. B) 100B + 90M <= 18,000

5. D) 2