Question

1. KQFR company produces two models of electronic gadgets that use resistors, capacitors, and chips. Thefollowing table summarizes the data of the situation: Let x1 and x2 be the amounts

produced of models 1 and 2, respectively. Following are the LP model andits associated optimal simplex tableau. A) What is the optimal solutions? Show the BV and NBV. B) How much should KQFR ask for a unit of resistor, capacitor, and chip to a competitor? C) Will the optimal solution change if the price of the model 2 drops to $2? Explain. D) Determine the range of applicability of the dual prices for each resource? E) If the available number of resistors is increased to 1300 units, find the new optimum solution. F) If the available number of chips is reduced to 350 units, will you be able to determine the new optimalsolution directly from the given information? Explain. G) A new contractor is offering to sell KQFR additional resistors at 40 cents each but only if KQFR wouldpurchase at least 500 units. Should KQFR accept the offer. Explain

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