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A refinery manufactures tow grades of fuel

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A refinery manufactures tow grades of fuel, F1 and F2, by blending four types of gasoline, A,B,C,D. Fuel F1 uses gasoline A,B,C and D in the ration 1:1:2:4, and fuel F2 uses the ration 2:2:1:3. The supply limits for A,B,C and D are 1000, 1200, 900 and 1500 bbl/day respectively. The costs per bbl for gasolines A,B,C and D are $120, $90, $100 and $150, respectively. Fuel F1 and F2 sell for $200 and $250 per bbl, respectively. The minimum demand for F1 and F2 is 200 and 400 bbl/day, respectively. Develop an LP model and determine the optimal production mix for F1 and F2.

Reference no: EM13962837

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