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MORE THAN TWO DECISION VARIABLES  107


                      Figure 3.9 Excel Solution for the Modified GulfGolf Problem
                                                                Original
                                   Name                          Value                      Final Value
                          Maximize Total Profit                         0                         8299.8
                                 Standard
                                                                Original
                                   Name                          Value                      Final Value
                        Bags produced Standard                          0                            280
                        Bags produced Deluxe                            0                               0
                        Bags produced Lightweight                       0                            428

                                  Name                     Cell Value             Status              Slack

                        Cutting and Dyeing                     538.4            Not Binding           91.6
                        Hours Used (LHS)
                        Sewing Hours                             568            Not Binding             32
                        Used (LHS)
                        Finishing Hours                          708            Binding                   0
                        Used (LHS)
                        Inspection and Packaging                 135            Binding                   0
                        Hours Used(LHS)
                      Adjustable Cells
                                               Final        Reduced   Objective      Allowable    Allowable
                               Name            Value          Cost   Coefficient     Increase      Decrease
                           Bags produced         280               0           10 2.070069297           4.86
                           Standard
                           Bags produced           0   –1.150026998 9.000000002 1.150026998            1E+30
                           Deluxe
                           Bags produced         428               0        12.85        12.15 0.940932891
                           Lightweight
                      Constraints
                                               Final                  Constraint     Allowable    Allowable
                               Name            Value   Shadow Price    R.H. Side     Increase      Decrease
                        Cutting and Dyeing     538.4               0          630        1E+30          91.6
                        Hours Used (LHS)
                        Sewing Hours             568               0          600        1E+30            32
                        Used (LHS)
                        Finishing Hours          708            8.1           708 144.6315789            168
                        Used (LHS)
                        Inspection and           135             19           135          9.6          64.2
                        Packaging Hours
                        Used (LHS)


                       EXCEL file
                                      contribution for D increases by at least $1.15 the value of D will remain at zero in
                          GULFGOLF
                                      the optimal solution.
                           MODIFIED
                                         Suppose we increase the coefficient of D by $1.1500 and then re-solve the problem.
                                      Figure 3.10 shows the new solution. We note that D has now entered the solution
                                      (although the value of the objective function remains unchanged indicating an alter-
                                      native optimal solution) and all three variables have a reduced cost coefficient of 0.
                                         Returning to Figure 3.9 we note that the shadow prices for constraints 3 and 4 are
                                      8.1 and 19, respectively, indicating that these two constraints are binding in the
                                      optimal solution. So, each additional hour in the finishing department would
                                      increase the value of the optimal solution by $8.10 and each additional hour in the
                                      inspection and packaging department would increase the value of the optimal
                                      solution by $19.00. Because of a slack of 91.6 hours in the cutting and dyeing
                                      department and 32 hours in the sewing department (see Figure 3.9), management
                                      might want to consider the possibility of redeploying these unused hours in the
                                      finishing or inspection and packaging departments. For example, it may be that




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