Reference no: EM132199855

Consider the production capacity for the new Nissan plant in Smyrna, Tennessee. Assume that we can increase the capacity and suppose that Nissan currently has enough regular production capacity to produce 3200 electric Nissan Leafs per week. Further assume that with overtime, an additional 1000 cars per week can be produced. The cost of assembly and inspecting a car during regular time is $1,900. Overtime production of a car costs $2,600. It also costs $100 per week to hold a car in inventory for future delivery. Nissan’s order schedule for the next six weeks is: 2100, 3400, 4600, 3600, 3000 and 5000 cars. Their goal is to provide quality service and as such, they want to be able to meet all of their customer orders with no shortages. Nissan wants to create a production schedule that will determine how much regular and overtime production it needs for the next six weeks while also minimizing its cost. Assume that there is no inventory on hand at the beginning of week 1. Develop a linear programming (LP) model for the Nissan production problem. Solve this LP using the Excel Solver (You need to add the corresponding Excel Add-in that comes with Excel: Excel-Options Add-Ins Manage Excel Add-ins Go Solver Add-in). If you have any questions about using the Excel Solver, please do not hesitate to ask. You can also use any other solver available if you prefer. For example, see Google Drive (Spreadsheet Tools Solver)