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Management Science Homework 2

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Management Science Homework 2

Q1 1)

Definition of Decision variables:

X1: Number of purchasing cases of canned goods in Sep

X2: Number of purchasing cases of canned goods in Oct

X3: Number of purchasing cases of canned goods in Nov

X4: Number of purchasing cases of canned goods in Dec

X5: Number of purchasing cases of canned goods in Jan

X6: Number of purchasing cases of canned goods in Feb

X7: Number of purchasing cases of canned goods in Mar

X8: Number of purchasing cases of canned goods in Apr

X9: Number of purchasing cases of canned goods in May

Initial Inventory

Purchase Quantity

Sales Quantity

Ending Inventory

Purchasing Cost

Sep

0

X1

1000

X1-1000

40 X1

Oct

X1-1000

X2

900

X1-1000+ X2-900

40 X2

Nov

X1-1000+ X2-900

X3

850

X1-1000+ X2-900+ X3-850

40 X3

Jan

X1-1000+ X2-900+ X3-850+ X4-500

X5

600

X1-1000+ X2-900+ X3-850+ X4-500+ X5-600

42 X5

Feb

X1-1000+ X2-900+ X3-850+ X4-500+ X5-600

X6

1000

X1-1000+ X2-900+ X3-850+ X4-500+ X5-600+ X6-1000

42 X6

Mar

X1-1000+ X2-900+ X3-850+ X4-500+ X5-600+ X6-1000

X7

1000

X1-1000+ X2-900+ X3-850+ X4-500+ X5-600+ X6-1000+ X7-1000

44 X7

Apr

X1-1000+ X2-900+ X3-850+ X4-500+ X5-600+ X6-1000+ X7-1000

X8

1000

X1-1000+ X2-900+ X3-850+ X4-500+ X5-600+ X6-1000+ X7-1000+ X8-1000

44 X8

May

X1-1000+ X2-900+ X3-850+ X4-500+ X5-600+ X6-1000+ X7-1000+ X8-1000

X9

500

X1-1000+ X2-900+ X3-850+ X4-500+ X5-600+ X6-1000+ X7-1000+ X8-1000+ X9-500

44 X9

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