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MS-51
1. Solve the following LP problem through SIMPLEX method
Minimize Z = 2x1 + 5x2
Subject to x1 + x2 = 100
x1 ≤ 40
x2 ≥ 30
x1, x2 ≥ 0

Ans: Since the given objective function is of minimisation type we shall convert it in to a maximisation
type as follows:

Maximise (-Z) = Maximise Z* = - 2x1 - 5 x2

Subject to the constraints
x1 + x2 = 100
x1 ≤ 40
x2 ≥ 30
x1, x2 ≥ 0
By introducing the non-negative slack variable s1, surplus variable s2 and the artificial variables R1
and R2, the standard form of LPP becomes

Maximise Z* = - 2x1 - 5 x2 + 0s1+ 0s2 –MR1 -MR2

Subject to the constraints
x1 + x2 + R1 = 100
x1 + s1 = 40
x2 - s2 + R2 = 30
x1, x2, s1, s2 ≥ 0

Hence the basic feasible solution is given by s1 = 40, R1 = 100, R2 = 30 (x1= x2 = s2 =0, non-
basic).

Initial Iteration:

Cj -2 -5 0 0 -M -M Ø
CB YB XB x1 x2 s1 s2 R1 R2
-M R1 100 1 1 0 0 1 0 100
0 s1 40 1 0 1 0 0 0 --
-M R2 30 0 (1) 0 -1 0 1 30
Zj* – Cj -130M -M + 2 -2M + 5 0 M 0 0

Since there are some Zj* – Cj < 0, the current basic feasible solution is not optimal.
The non-basic variable x2 enters into the basis and the basic variable R2 leaves the basis.

First iteration

Cj -2 -5 0 0 -M -M Ø
CB YB XB x1 x2 s1 s2 R1 R2
-M R1 70 1 0 0 1 0 -1 70
0 s1 40 (1) 0 1 0 0 0 40
-5 x2 30 0 1 0 -1 0 1 --
Zj* – Cj -70M-150 -M + 2 0 0 -M + 5 M M-5

Since there are some Zj* – Cj < 0, the current basic feasible solution is not optimal.
The non-basic variable x1 enters into the basis and the basic variable s1 leaves the basis.

Second iteration

Cj -2 -5 0 0 -M -M Ø
CB YB XB x1 x2 s1 s2 R1 R2
-M R1 30 0 0 -1 (1) 1 0 30
-2 x1 40 1 0 1 0 0 0
-5 x2 30 0 1 0 -1 0 1
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Zj* – Cj -30M-230 0 0 M-2 -M + 5 0 M-5

Since there are some Zj* – Cj < 0, the current basic feasible solution is not optimal.
The non-basic variable S2 enters into the basis and the basic variable R1 leaves the basis.

Third iteration
Cj -2 -5 0 0 -M -M Ø
CB YB XB x1 x2 s1 s2 R1 R2
0 s1 30 0 0 -1 1 1 0 30
-2 x1 40 1 0 1 0 0 0 --
-5 x2 60 0 1 -1 0 1 1 --
Zj* – Cj -380 0 0 3 0 M-5 M-5

Since all Zj* – Cj ≥ 0, the current basic feasible solution is optimal. The optimal solution is given
by Maximum Z* = -380, x1 = 40, x2 = 60.

Minimum Z = 380, x1 = 40, x2 = 60.

2. Write the generalized from of linear programming problem with matrix notation.
Ans: The linear programming involving more than two variables may be expressed as follows:
Maximise or Minimise Z = c1x1 + c2x2 + c3x3 + ---- + cnxn
Subject to the constraints
a11x1 + a12x2 + ---- + a1nxn ≤ or = or ≥ b1
a21x1 + a22x2 + ---- + a2nxn ≤ or = or ≥ b2
----
----
----
am1x1 + am2x2 + ---- + amnxn ≤ or = or ≥ bm
and the non – negative restrictions x1, x2, x3, - - -, xn ≥ 0

The general linear programming problem can always be expressed in the following form

Maximise Z = c1x1 + c2x2 + c3x3 + ---- + cnxn

Subject to the constraints
a11x1 + a12x2 + ---- + a1nxn ≤ b1
a21x1 + a22x2 + ---- + a2nxn ≤ b2
----
----
----
am1x1 + am2x2 + ---- + amnxn ≤ bm
and the non – negative restrictions x1, x2, x3, - - -, xn ≥ 0

This form of LPP is called the canonical form of LPP can be expressed as :

Maximise Z = CX (objective function)

Subject to AX ≤ b (constraints)
and X ≥ 0 (non – negative restrictions)
Where C = (c1 c2 c3 ----cn)

a11 a12 ---- a1n x1 b1

A= a21 a22 ---- a2n , X = x2 , b= b2

---- - -
---- - -
a m1 a m2 ---- a mn x1n bm

----- x----- x -----

3. A manufacturer requires 15000 units of a part annually for assembly. Manufacturer can
produce this at the rate of 100 per day. Set up cost for each production run is Rs. 24/- . to hold

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one unit of this part in inventory will cost Rs. 5/- per year. Determine the optimum
manufacturing quantity and the optimum number of production run in any year.

Ans: Number of items required per unit time R = 15000 per year
Set up cost C3 = Rs. 24/-
Cost of holding C1 = Rs. 5/-
Production rate K = 100 x 365 = 36500

Economic batch quantity =

= 494.43 units =495 units

Economic run length t = = = = 0.032962 years = 12.03 days

Optimum number of production run in any year = 30.34

4. (a) Distinguish between pure and mixed strategy for a game.

Ans: Pure Strategies: If a player known exactly what the other player is going to do a deterministic
situation is obtained and objective function is to maximise the gain. Therefore, the pure
strategy is a decision rule always to select a particular course of action.
Zero sum games with two players are called rectangular games. In this case the loss (gain) of
the player is exactly equal to the gain (loss) of the other.
In pure strategies, Maximin = Minimax

Mixed strategy: when maximin ≠ minimax, then pure strategy fails. Therefore, each player with
certain probabilistic fixation. This type of strategy is called mixed strategy.

If a player decides in advance to use all or some of his available courses of action in some
fixed proportion, he is said to use mixed strategy. Thus a mixed strategy, after the pattern of
play has become evident, is that the opponents are kept guessing as to what a player’s course
of action will be. A player may be able to choose only a specified number of pure strategies,
but has an infinite number of mixed strategies to choose.

4. (b) Solve the game whose pay-off matrix is

1 7 2

6 2 7

5 1 6

Ans: Given problem is solved by Dominance property.

Row III is dominated by Row II and column I is dominated by column III,

So, we delete Row III and column III

B1 B2

A1 1 7

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A2 6 2

Using strategy for B as x, 1 – x

We have , 1.x + 7(1 – x) = 6x + 2(1 – x)

7 – 6x = 4x + 2
10x = 5

x= , and 1 – x =

Strategy for B: { , , 0}

Using strategy for A as y, 1 – y

1.y + 6(1 – y) = 7y + 2(1 – y)

6 – 5y = 5y + 2 7

y= ,1–y=

y= , and 1 – y =

Strategy for A: { , , 0}
Value of the game = 1.x + 7(1 – x)

= 1. ( ) + 7( )

= =4

5. Write short notes on the following

(a) Goal programming

(b) Dynamic programming

(c) Simulation

Ans: (a) Goal programming: all other optimisation methods only considered one criterion or
performance measure to define the optimum. It is not possible to find a solution that
simultaneously minimise cost and maximises reliability and minimises energy utilisation. In
many practical situations it would be desirable to achieve a solution that is best with respect to
a number of different criteria. One way of treating multiple competing objectives is to select one
criterion as primary and the remaining criteria as secondary. The primary criterion is used as
an optimisation performance measure, while the secondary criteria are assigned acceptable
minimum or maximum values and are treated as problem constraints. If careful considerations
were are not given while selecting the acceptable levels, a feasible design that satisfies all the
constraints may not exit. This problem is overcome by a technique called goal programming,
which is fast becoming a practical method for handling multiple criteria.

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In goal programming all the objectives are assigned target levels for achievement and a
relative priority on achieving these levels. Goal programming treats these targets as goal to
aspire for and not as absolute constraints. It then attempts to find an optimal solution that
comes as “close as possible” to the targets in the order of specified priorities.

The general goal programming model can be expressed as

m
Minimise Z = ∑ (wi+di+ + wi-di-)
i=1
m
Subject to Z = ∑ aij xj +di- - di+ = bi for all i
i=1
xj , di- , di+ ≥ 0 for I and j

(b) Dynamic programming: Dynamic programming is a mathematical technique of

optimisation using multistage decision process. That is, the process in which a sequence of
interrelated decisions has to be made. It provides a systematic procedure for determining the
combination of decisions which maximise overall effectiveness. Classical mathematics has
provided inadequate in handling many optimisation problems that involve large number of
decision variables and /or large number of inequality constraints. Such type of problems is
handled by the dynamic programming technique. The dynamic programming technique
decomposes the original problem in ‘n’ variables in to ‘n’ sub problems (stages) each in one
variable. The solution is obtained in an orderly manner by starting from the one stage to the
next and is completed after the final stage is reached.

In many situations we observed that the decision making process consists of selecting a
combination of plans from a large number of alternative combination.

Before making a decision, it is required that, all the decisions of combination are specified and
the optimal policy can be selected only aft5er all the combinations are evaluated.

The dynamic programming technique deal with such situations by dividing the given problem is
to sub problems or stages. Only one stage is considered at a time and the various infeasible
combinations are eliminated with the objective of reducing the volume of computations. The
solution is obtained by moving from one stage to the next and is completed when the final
stage is reached.

(c) Simulation: Simulation is numerical technique for conducting experiments on a digital

computer, which involves logical and mathematical relationships that interact to describe the
behaviour and structure of a complex real-world system over extended periods of time.

Simulation has often been described as the process of creating the essence of reality without
ever actually attaining that reality itself. Simulation will involve the construction,
experimentation and manipulation of a complex model on a digital computer. The techniques
that will be described have also been implemented on modern microcomputers and elements
of our discussion will directly address those possibilities.

Although the simulation is sometimes viewed as “method of last resort”. Often to be employed
when all else fails, recent advances in simulation methodologies, software availability and
technical developments have made simulation one of the most widely used and accepted tools
in systems analysis and operations research.