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Objective Function
Although the standard LP model can be either the maximization or the minimization type, it is sometimes useful to convert one form to the other.The maximization of a function is equivalent to the minimization of the negative of the same function, and vice versa.For example: Max. Z = 5X1 + 2X2 + 3X3 is mathematically equivalent to Min. (-Z) = -5X1 - 2X2 - 3X3Equivalence means that for the same set of constraints the optimum values of X1, X2 and X3 are the same in both cases. The only difference is that of the values of the objective functions, although equal numerically, will appear with opposite signs. Example: Write the following LP model in the standard form:Minimum: Z = 2X1 + 3X2 Minimum: Z = X1' - 2X1'' + 3X2Subject to: X1 + X2 = 10 Subject to: X'1 - 2X''1 + 3X2 = 10 -2X1' + 3X2≤ -5 2X'1 - 2X''1 - 3X2 - S2 = 5 7X1 - 4X2 ≤ 6 7X'1 - 7X''1 - 4X2 + S3 = 6 X1 Unrestricted X1', X1'', X2, S2, S3 ≥ 0 X2 ≥ 0
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Cause Company is planning to invest in a machine with a useful life of five years and no salvage value. The machine is expected to produce cash flow from operations of $20,000 in e
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