Page 390 - PM Integrated Workbook 2018-19
P. 390

Chapter 15





                   Look at the slope of the contribution line and, using a ruler, identify which
                   combination of values of x and y within the feasible area for the constraints is
                   furthest away from the origin of the graph. This is the combination of values for
                   x and y where an iso-contribution line can be drawn as far to the right as
                   possible that just touches one corner of the feasible area. This is the
                   combination of values of x and y that provides the solution to the linear
                   programming problem.

                   Optimum corner is corner c, the intersection of


                   8x + 10y = 11,000 and y = 600

                   At this corner, x = 625 and y = 600

                   The optimum production plan is to produce 625 units of Products X and 600
                   units of Product Y; the contribution at this point is maximised C = (625 × $4) +
                   (600 × $8) = $7,300.





















































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