6 A company is planning its production of "MPowder" for the next three months.
- Over the next 3 months 20 tonnes must be produced.
- Production quantities must not be decreasing. The amount produced in month 2 cannot be less than the amount produced in month 1 , and the amount produced in month 3 cannot be less than the amount produced in month 2.
- No more than 12 tonnes can be produced in total in months 1 and 2.
- Production costs are \(\pounds 2000\) per tonne in month \(1 , \pounds 2200\) per tonne in month 2 and \(\pounds 2500\) per tonne in month 3.
The company planner starts to formulate an LP to find a production plan which minimises the cost of production:
$$\begin{array} { l l }
\text { Minimise } & 2000 x _ { 1 } + 2200 x _ { 2 } + 2500 x _ { 3 }
\text { subject to } & x _ { 1 } \geq 0 x _ { 2 } \geq 0 x _ { 3 } \geq 0
& x _ { 1 } + x _ { 2 } + x _ { 3 } = 20
& x _ { 1 } \leq x _ { 2 }
& \bullet \cdot \cdot
\end{array}$$
- Explain what the variables \(x _ { 1 } , x _ { 2 }\) and \(x _ { 3 }\) represent, and write down two more constraints to complete the formulation.
- Explain how the LP can be reformulated to:
$$\begin{array} { l l }
\text { Maximise } & 500 x _ { 1 } + 300 x _ { 2 }
\text { subject to } & x _ { 1 } \geq 0 x _ { 2 } \geq 0
& x _ { 1 } \leq x _ { 2 }
& x _ { 1 } + 2 x _ { 2 } \leq 20
& x _ { 1 } + x _ { 2 } \leq 12
\end{array}$$ - Use a graphical approach to solve the LP in part (ii). Interpret your solution in terms of the company's production plan, and give the minimum cost.