OR1 - PRACTICE FOR FINAL - Solution

PRACTICE FOR FINAL
Question 1
The Toys-R-4-U Company has developed two new toys for possible inclusion in its product line
for the upcoming Christmas season. Setting up the production facilities to begin production would
cost $50,000 for toy 1 and $80,000 for toy 2. Once these costs are covered, the toys would generate
a unit profit of $10 for toy 1 and $15 for toy 2.
The company has two factories that are capable of producing these toys. However, to avoid
doubling the start-up costs, just one factory would be used, where the choice would be based on
maximizing profit. For administrative reasons, the same factory would be used for both new toys
if both are produced.
Toy 1 can be produced at the rate of 50 per hour in factory 1 and 40 per hour in factory 2. Toy 2
can be produced at the rate of 40 per hour in factory 1 and 25 per hour in factory 2. Factories 1 and
2, respectively, have 500 hours and 700 hours of production time available before Christmas that
could be used to produce these toys. It is not known whether these two toys would be continued
after Christmas.
Formulate an MILP to determine how many units (if any) of each new toy should be produced and
where to produce before Christmas to maximize the total profit.
x1; x2 : number of toy 1 and toy 2 to be produced
■ y1; y2 : = 1 if toy 1 and toy 2 are produced and 0 if otherwise
■ z : = 1 if factory 1 is open and =0 if factory 2 is open
Maximize Z = 10 x1 + 15 x2 - 50,000 y1 - 80,000 y2
Subject to: x1 ≤ My1
x2 ≤ My2
1/50 x1 + 1/40 x2 ≤ 500 + M(1-z)
1/40 x1 + 1/25 x2 ≤ 700 + Mz
x1, x2 ≥ 0, and integer
y1, y2, z are binary.

Question 2
Given the following problem:
Maximize Z = 4x1 + 3x2 + x3
subject to 3x1 + 2x2 + x3 ≤ 7
2x1 + x2 + 2x3 ≤ 11
x2 is integer
x3 is binary
x1, x2, x3 ≥ 0
and given:
Use the MIP branch-and-bound algorithm to find the optimal solution.

(Hint: For each subproblem that has 2 variables, solve its LP relaxation graphically.)
Subprob 1: x3 = 0
Maximize Z = 4x1 + 3x2
subject to 3x1 + 2x2 ≤ 7
2x1 + x2 ≤ 11
x1, x2 ≥ 0
Subprob 2: x3 = 1
Maximize Z = 4x1 + 3x2 + 1
subject to 3x1 + 2x2 ≤ 6
2x1 + x2 ≤ 9
x1, x2 ≥ 0
Subprob 3: x3 = 0 ; x2 = 3
Maximize Z = 4x1 + 3
subject to 3x1 + 6 ≤ 7
2x1 + 3 ≤ 11
x1 ≥ 0
Subprob 4: x3 = 0 ; x2 = 4
Maximize Z = 4x1 + 3
subject to 3x1 + 8 ≤ 7 (Infeasible)
2x1 + 4 ≤ 11
x1 ≥ 0
Question 3
A student from School of Industrial Engineering and Management (IEM) must select courses from
the list of 5 specified courses for their upcoming summer semester. She is ambitious for getting
the Encouragement scholarship which is valued at $300. Eligible criteria for applying for the
Encouragement scholarship are as follows:
1. Each course can only be registered once for this semester.

2. The maximum credits allowed to be registered is 9 credits.
The students getting the highest GPA will have a chance to achieve the scholarship.
Therefore, she must have a strategy for registration to maximize GPA. She decides to register 9
credits for this summer semester. Then, her GPA will be calculated as follows:
Where n is the number of courses that she registers for this summer semester. The estimated grade
and the number of credits for each course are given in table 1:
Course Course name Number of Expected Grade

No. credits
1 Quality management 3 80
2 Ho Chi Minh’s thoughts 2 90
3 Scientific writing 2 87
4 Financial Accounting 4 83
5 Project Management 3 84
Table 1: Course list for summer semester registration
Use dynamic programming to help her to build a strategy for her registration to maximum GPA.
(Show solution table and your calculation steps for the benefit of registering course 4)
Knapsack table (10pts)

Conclusion: She should register for the course 2,4 and 5 with the GPA is 84,88
Question 4
Vietnam Cable Television Corporation (VTVcab) is a Cable TV Technical Center under Vietnam
Television with the function of providing pay TV channels. VTVcab is currently having a new set
of customers in a residential area in Ho Chi Minh city, therefore, they need to propose an optimal
line cable TV network for that customer set. They are employing a traditional Cable Network
which works as the following schematic diagram. In figure 1, Cable TV office is referred to as the
head end which can receive the video signals from broadcasting stations and then feeds the signals
into coaxial cables. Due to the distance increases, the signals are getting weaker, for this purpose
amplifiers were installed through this network to regenerate the signals. At another end of the
Cable TV network, splitters were placed to split the signal and the tap and drop cables make the
connections to the subscribers’ premises.
The current problem is that they need to design the tap network for the mentioned residential area
including 7 households (subscribers). Help VTVcab to propose an optimal design of Cable TV
network that minimizes total length of lines. Show your solution in network form.
The subscribers’ map displaying the available connection lines and their attached distance (unit:
10 meter) is shown in figure 2.
Figure 1: Schematic diagram of the Cable TV network
Figure 2: Subscribers’ map

Iterations
Branch 1 1 2 3
Branch 2 1 6 4
Branch 10 6 7 3
Branch 11 6 5 3
Branch 8 5 4 3
Branch 6 4 3 2
Branch 7 4 8 3
21
Conclusion: The network includes 7 branches with the total length of line is 210 meters
Question 6
ĐD
Question 7
Subproblem 1: x3 = 0
Maximize Z = 9x1+5x2
Subject to:
-x1+x2<=4
x1+x2<=1
x2<=1
Graphical method => Z = 9, x1 = 1, x2 = 0 , x3 = 0
Subproblem 2: x3 = 1
Maximize Z = 9x1+5x2+2
Subject to:
-x1+x2<=4
x1+x2<=1
x2<=0
Graphical method => Z = 11, x1 = 1, x2 = 0 , x3 = 1
Optimal solution: Z = 11, x1 = 1, x2 = 0 , x3 = 1

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PRACTICE FOR FINAL

x1; x2 : number of toy 1 and toy 2 to be produced

■ y1; y2 : = 1 if toy 1 and toy 2 are produced and 0 if otherwise

■ z : = 1 if factory 1 is open and =0 if factory 2 is open

Maximize Z = 10 x1 + 15 x2 - 50,000 y1 - 80,000 y2

Subject to: x1 ≤ My1

1/50 x1 + 1/40 x2 ≤ 500 + M(1-z)

1/40 x1 + 1/25 x2 ≤ 700 + Mz

x1, x2 ≥ 0, and integer

y1, y2, z are binary.

Use the MIP branch-and-bound algorithm to find the optimal solution.

subject to 3x1 + 2x2 ≤ 7

subject to 3x1 + 2x2 ≤ 6

subject to 3x1 + 8 ≤ 7 (Infeasible)

1. Each course can only be registered once for this semester.

Course Course name Number of Expected Grade

2 Ho Chi Minh’s thoughts 2 90

Table 1: Course list for summer semester registration

Knapsack table (10pts)

Figure 1: Schematic diagram of the Cable TV network

Figure 2: Subscribers’ map

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