Linear Programs 715
A Minimization Problem
The production problem the PC company faces is typical of a large class of
profit-maximization problems. A second important class of decisions involves
cost minimization. The next example illustrates the point.
REGULATION AT LEAST COST An environmental regulatory agency is
launching a program to reduce water pollution in one of the region’s major
rivers. As a first step, it has set standards for two key measures of water quality.
It seeks (1) to increase the level of dissolved oxygen (essential to fish and other
life in the estuary) by 6 milligrams (mg) per liter and (2) to reduce the con-
centrations of chlorides by 70 mg per liter. Its aim is to meet both these stan-
dards at minimum cost by allocating funds between two programs.
Program 1: Direct treatment of effluents. Each $1 million spent in this
program will increase dissolved oxygen by 3 mg/liter and reduce
chlorides by 10 mg/liter.
Program 2: Flow regulation. Each $1 million spent in this program will
increase dissolved oxygen by 1 mg/liter and reduce chlorides by 20
mg/liter.
How much should the agency spend on one or both programs to meet its goals?
Let’s formulate and solve the agency’s problem. As always, we begin by
identifying the decision variables. Here, the agency must choose how much to
spend on direct treatment and how much to spend on flow regulation. We label
the spending (in millions of dollars) on the respective programs by D and F.
The agency seeks to minimize the total cost (C) of the programs, subject to
meeting its goals.
. [OF]
The goals it must meet can be expressed by the following inequalities.
[O]
10D20F 70. [C]
Subject to: 3DF 6
Minimize: CDF
CHECK
STATION 1
A farmer raises two crops, wheat and barley. Wheat sells at $1.60 per bushel and bar-
ley at $1.00 per bushel. The production of each crop requires land and labor in dif-
fering amounts. Each 1,000 bushels of wheat requires one acre of farmland and
4 labor-hours per week. An equal quantity of barley also requires 1 acre but requires
only 2 hours of labor per week. The farmer has 10 acres of land and an average of
32 hours of labor per week to devote to wheat and barley production. How much of
each crop should the farmer produce? In your answer, formulate and graph the appro-
priate LP problem.
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