In problems involving maximization and minimization, what is the objective function? States intended outcome in equation form Incorporates constraint of maximum budget Lists set of potential restrictions on the solution Cites constraints to ensure objectivity
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- Lemingtons is trying to determine how many Jean Hudson dresses to order for the spring season. Demand for the dresses is assumed to follow a normal distribution with mean 400 and standard deviation 100. The contract between Jean Hudson and Lemingtons works as follows. At the beginning of the season, Lemingtons reserves x units of capacity. Lemingtons must take delivery for at least 0.8x dresses and can, if desired, take delivery on up to x dresses. Each dress sells for 160 and Hudson charges 50 per dress. If Lemingtons does not take delivery on all x dresses, it owes Hudson a 5 penalty for each unit of reserved capacity that is unused. For example, if Lemingtons orders 450 dresses and demand is for 400 dresses, Lemingtons will receive 400 dresses and owe Jean 400(50) + 50(5). How many units of capacity should Lemingtons reserve to maximize its expected profit?4. Explain how the logit model overcomes the problems associated with the Linera Probability Model in binary dependent variaraile model.Daniel Grady is the financial advisor for a number of professional athletes. An analysis of the long-term goals for many of these athletes has resulted in a recommendation to purchase stocks with some of their income that is set aside for investments. Five stocks have been identified as having very favorable expectations for future performance. Although the expected return is important in these investments, the risk, as measured by the beta of the stock, is also important. (A high value of beta indicates that the stock has a relatively high risk.) The expected return and the betas for five stocks are as follows: Stock 1 2 3 4 5 Expected Return (%) 11.0 9.0 6.5 15.0 13.0 Beta 1.20 0.85 0.55 1.40 1.25 Daniel would like to minimize the beta of the stock portfolio (calculated using a weighted average of the amounts put into the different stocks) while maintaining an expected return of at least 11%. Since future conditions may change, Daniel…
- Just need help finding the sausage constraint quantity valueDon't solve. Please give- Decision Variable Constraint Objective function"A chipboard company has 4 factories, Mazatenango, Retalhuleu, Escuintla and Xela. It has four major distributors of its chipboards, which are distributor 1, distributor 2, distributor 3 and distributor 4: Mazatenango Retalhuleu Escuintla Xela DEMAND D1 10 16 19 12 350 D2 12 10 18 15 300 D3 15 22 10 10 250 IN THIS CASE USE VOGEL'S APPROXIMATION METHOD D4 20 10 12 20 200 SUPPLY 150 150 350 250 1) Formulate the problem as a transportation problem, solve it with the three methods and find the optimal cost for this problem. methods and find the optimal cost for this transportation problem. (remember to go through all possible routes).
- 3. Gursoy is selling Christmas trees. She purchases trees for $10 and sells for $25 each. The number of trees she can sell is normally distributed with a mean of 100 and standard deviation of 30. How many trees should Gursoy purchase?15) JBs needs to determine what quantity of a new tennis racquet to order for the upcoming summer season. They sell the racquet for $110 and procure it from their supplier for $70. Any leftovers will be marked down 60% and are expected to all sell at that price. Anticipated demand is modeled with a normal distribution where the mean is 120 and the standard deviation is 25. How many racquets should JBs order if they want to meet a 95% target fill rate? A) 130 C) 162 B) 127 D) 149Define the different components (y, x, a, and b) of a linearregression equation
- Please show how to solve bWHAT WLL HAPPEN IF THERE IS A CHANGE IS ONE OF THE OBJECTIVE FUNCTION COEFFICIENT? A. SLOPE OF THE OBJECTIVE FUNCTION LINE ALWAYS WILL CHANGE B. OPTIMAL SOLUTION ALWAYS WILL CHANGE C. ONE OR MORE OF THE DECISION VARIABLES ALWAYS WILL CHANGE D. ALL OF THE ABOVE E. NONE OF THE ABOVEIdentify which type of analysis best fits each of the following descriptions. Requires the use of a computer Allows for probabilities to be assigned Includes the use of break-even analysis options; SCENARIO SENSITIVITY SIMULATION