Formulate as an lp problem

Reference no: EM13737774

The I. Kruger Paint and Wallpaper Store is a large retail distributor of the Supertrex brand of vinyl wall-coverings. Kruger will enhance its citywide image in Miami if it can outsell other local stores in total number of rolls of Supertrex next year. If is able to estimate the demand functions as follows:

Number of rolls of Supertrex sold = 20 x Dollars spent on advertising + 6.8 x Dollars spent on in-store displays + 12 x Dollars invested in on-hand wallpaper inventory - $65.000 x marke-up taken above whole sale cost of a roll.

The store budgets a total of $17,000 for advertising, in-store displays and on-hand inventory of Supertrex for next year. It decides it must spend at least $3,000 on advertising; in addition, at least 5% of the amount invested in on-hand inventory should be devoted to displays. Markups on Supertrex seen at other local stores range from 20% to 45%. Kruger decides that its markup had best be in this range as well.

a) Formulate as an LP problem

b) Solve the problem

c) What is the difficulty with the answer?

d) What constraint would you add?

Reference no: EM13737774

Questions Cloud

Accompanying character descriptions : Required: Read the case summary and accompanying character descriptions, then answer the following question:

Disparate treatment-disparate impact-reasonable accommodatio : Distinguish between disparate treatment, disparate impact, and reasonable accommodation theories of discrimination in terms of (a) number of plaintiffs, (b) intent, and (c) defenses.

Explain how it will affect income and expenses : If and when you made assumptions, based on the increased sales volume and how it will affect income and expenses, please describe them and their effects on each line item

Text regarding suicide : What was the most surprising myth you read about in your text regarding suicide? Why?

Formulate as an lp problem : Formulate as an LP problem, solve the problem and what is the difficulty with the answer - what constraint would you add?

Crisis intervention case book : Read the "What Would You Do?" of Crisis Intervention Case Book and answer the following questions.

Find a pre-existing campaign or ad : Find a pre-existing campaign or ad. From any media source like TV, the Web, Newspaper. You can pick a successful/unsuccessful recent campaign

How constitution provide for a system of separation of power : explain how the Constitution provides for a system of separation of powers and checks and balances. Provide a fully developed essay of at least 500 words, and cite sources used.

Ethics awareness inventory paper : Write a 1,050- to 1,250-word summary of your findings. Address the following:

User Account

All Pages