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SMB 3425 Operations Research I

-Operations-Research-I

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0% found this document useful (0 votes)
17 views

SMB 3425 Operations Research I

-Operations-Research-I

Uploaded by

muhika22.kelvin
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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MERU UNIVERSITY OF SCIENCE AND TECHNOLOGY

P.O. Box 972-60200 – Meru-Kenya.


Tel: +254 (0)799529958, +254 (0)799529959, +254 (0)712524293
Website: www.must.ac.ke Email: [email protected]

UNIVERSITY EXAMINATIONS 2020/2021

SECOND YEAR, SECOND SEMESTER EXAMINATION FOR THE DEGREE OF


BACHELOR OF COMMERCE

SMB 3425 – OPERATIONS RESEARCH I

DATE: MARCH 2021 TIME: 2 HOURS

INSTRUCTIONS: Answer question one and any other two questions.

QUESTION ONE (30 MARKS)

a) State three applications of operations research. (3 Marks)


b) Maximize 30 40 subject to; (10 Marks)
3 2 600
3 5 800
5 6 1100
0, 0
c) Minimize 200 300
Subject to:
4 6 2400
2 2 800
4 3 1800 (10 Marks)
d) Solve the following linear programming problem using simplex method.
Maximize 60 70 600
Subject to :
2 300
3 4 509
4 7 812 (7 Marks)

Meru University of Science & Technology is ISO 9001:2015 Certified


Foundation of Innovations Page 1
QUESTION TWO (20 MARKS)

Three machine shops A, B, c produces three types of products X,Y, Z respectively. Each product
involves operation of each of the machine shops. The time required for each operation on various
products is given as follows:

Machine shops
Products A B C Profit per unit
X 10 7 2 $12
Y 2 3 4 $3
Z 1 2 1 $1
Available 100 77 80
hours

Formulate a linear programming model to maximize the objective function. (20 Marks)

QUESTION THREE (20 MARKS)

a) A manufacturing company owns three factories (sources) and distribute his products to
five different retail agencies (destinations). The following table shows the capacities of
the three factories, the quantity of products required by the various retail agencies and the
cost of shipping one unit of the product from each of the three factories to each of the five
retail agencies.
Retail Agency
Factories 1 2 3 4 5 Capacity
1 1 9 13 36 51 50
2 24 12 16 20 1 100
3 14 33 1 23 26 150
Requirement 100 60 50 50 40 300

Use the North West corner method to determine the basic feasible solution.(10 Marks)
b) A workshop contains four persons available for work on the four jobs. The following
table shows the cost of assigning each person to job. Assign persons to jobs such that the
total assignment cost is a minimum. Use Hungarian method to solve.

Meru University of Science & Technology is ISO 9001:2015 Certified


Foundation of Innovations Page 2
Factories Jobs
1 2 3 4
A 20 25 22 28
Persons B 15 18 23 17
C 19 17 21 24
D 25 23 24 24
(10 Marks)
QUESTION FOUR (20 MARKS)
a) A leather manufacturing company has to transport the finished goods from the factory to
the store house. The path from the factory to the store house is through certain
intermediate stations as indicated in the following diagram. The company executive
wants to identify the path with the shortest distance so as to minimize the transport cost.
Show how they can achieve the objective. (10 Marks)

4
Store house
40 6
2
65 40
40
35 5
Factory
1 20
100

b) Minimize 2000 1500


Subject to:

6 2 8

2 4 12

4 12 24
, 0, 0 (10 Marks)
Meru University of Science & Technology is ISO 9001:2015 Certified
Foundation of Innovations Page 3
QUESTION FIVE (20 MARKS)
a) State five basic functions of inventory. (5 Marks)
b) A manufacturer uses an item at a uniform rate of 25,000 units per year. Assume that no
shortage is allowed and delivery is at an infinite rate. The ordering, receiving and hauling
cost is Rs 23 per order, while inspection cost is RS 22 per order . Interest costs is
RS.0.056 and deterioration and obsolescence cost is RS.0.004 respectively per year for
each item actually held in inventory plus RS.0.02 per year per unit based on the
maximum number of units in inventory. Determine the EOQ. If lead time is 40 days , find
reorder level. (15 Marks)

Meru University of Science & Technology is ISO 9001:2015 Certified


Foundation of Innovations Page 4

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