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This document presents a linear programming problem to determine the optimal mix and amount of different types of advertising (television commercials, radio commercials, and newspaper advertisements) that a supermarket chain should purchase to maximize exposure within its budget and resource constraints. The objective is to maximize the total audience exposure. The constraints include a $100,000 budget limit, limits on the number of each type of advertising available, and a maximum total number of ads/commercials that can be produced. Variables represent the number of each type of advertising. The linear programming model is formulated to solve this advertising mix optimization problem.

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96 views

Assignment On or

This document presents a linear programming problem to determine the optimal mix and amount of different types of advertising (television commercials, radio commercials, and newspaper advertisements) that a supermarket chain should purchase to maximize exposure within its budget and resource constraints. The objective is to maximize the total audience exposure. The constraints include a $100,000 budget limit, limits on the number of each type of advertising available, and a maximum total number of ads/commercials that can be produced. Variables represent the number of each type of advertising. The linear programming model is formulated to solve this advertising mix optimization problem.

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seyoumketema
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© © All Rights Reserved
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Download as DOCX, PDF, TXT or read online on Scribd
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INFOLINK UNIVERSITY COLLEGE

Linear Programming Problems


Individual Assignment
Max. Mark 15% Prepared By: Girmay D.

1. Efrata and Sons Company is engaged in the manufacture of three products X, Y and Z. Available
data is given below.

Product Minimum sales per month Profit per unit


X 10 10
Y 20 15
Z 30 8

Operations Time in hours Total time / month


I 1 2 2 200
II 2 1 1 220
III 3 1 2 180

Formulate product mix which will give maximum profit.

2. Evening shift resident doctors in a government hospital work five consecutive days and have two
days off. Their five days of work can start on any day of the week and the schedule rotates
indefinitely. The hospital requires the following minimum number of doctors working:

Sun Mon Tues Wed Thus Fri Sat


35 55 60 50 60 50 45

No more than 40 doctors can start their five working days on the same day. Formulate this problem as an
LP model to minimize the number of doctors employed by the hospital.
3. Supermarket store chain has hired an advertising firm to determine the types and amount of
advertising it should have for its stores. The three types of advertising available are radio and
television commercials, and newspapers advertisements. The retail chain desires to know the
number of each type of advertisement it should purchase in order to maximize exposure. It is
estimated that each ad or commercial will reach the following potential audience and cost the
following amount.
Exposure
Type of People/advertisement
Advertisement or commercial Cost
Television commercial 20,000 15,000
Radio commercial 12,000 6,000
Newspaper advertisement 9,000 4,000

The company must consider the following resource constraints.


1. The budget limit for advertising is Birr 100,000
2. The television station has time available for 4 commercials.
3. The radio station has time available for 10 commercials.
4. The newspaper has space available for 7 advertisements.
5. The advertising agency has time and staff available for producing no more than a total of
15 commercials and/or advertisements.
Required: Formulate a LP model for the problem.

Will be submitted on Submission date on 06/05/2015 E.C


https://www.dynamictutorialsandservices.org/2019/01/dibrugarh-university-arts-question_67.html

#3. Solution

Exposure (people/ad or commercial) Cost

Television commercial 20,000 $15,000

Radio commercial 12,000 6,000

Newspaper ad 9,000 4,000

The company must consider the following resource constraints:

1. The budget limit for advertising is $100,000.


2. The television station has time available for 4 commercials.
3. The radio station has time available for 10 commercials.
4. The newspaper has space available for 7 advertisements.
5. The advertising agency has time and staff available for producing no more than a total of
15 commercials and/or advertisements.

Decision Variables

This model consists of three decision variables that represent the number of each type of
advertising produced:

x 1 = number of television commercials

x 2 = number of radio commercials

x 3 = number of newspaper advertisement


The Objective Function

The objective of this problem is different from the objectives in the previous examples, in which
only profit was to be maximized (or cost minimized). In this problem, profit is not to be
maximized; instead, audience exposure is to be maximized. Thus, this objective function
demonstrates that although a linear programming model must either maximize or minimize some
objective, the objective itself can be in terms of any type of activity or valuation.

For this problem the objective audience exposure is determined by summing the audience
exposure gained from each type of advertising:

Maximize Z = 20,000 x1 + 12,000 x2 + 9,000 x3

Where

Z = total level of audience exposure

20,000 x 1 = estimated number of people reached by television commercials

12,000 x 2 = estimated number of people reached by radio commercials

9,000 x 3 = estimated number of people reached by newspaper advertisement

Model Constraints

The first constraint in this model reflects the limited budget of $100,000 allocated for
advertisement:

$15,000 x1 + 6,000 x 2 + 4,000 x 3   $100,000

Where
$15,000 x1 = amount spent for television advertising

6,000 x2 = amount spent for radio advertising

4,000 x3 = amount spent for newspaper advertising

The next three constraints represent the fact that television and radio commercials are limited to
4 and 10, respectively, and newspaper advertisement is limited to 7:

x1 <=  4 television commercials

x2 <= 10 radio commercials

x3  <= 7 newspaper advertisement

The final constraint specifies that the total number of commercials and advertisement cannot
exceed 15 because of the limitations of the advertising firm:

x1 + x2 + x3 <= 15 commercials and advertisement

Model Summary

The complete linear programming model for this problem is summarized as

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