Linear Programming Models:

Graphical Methods
Learning Outcomes

1. Understand the basic assumptions and

properties of linear programming (LP).

2. Graphically solve any LP problem that has only

two variables by both the corner point and
isoprofit line methods.
 Introduction

 Many management decisions involve trying to make

the most effective use of limited resources.
 Linear programming (LP) is a widely used
mathematical modeling technique designed to help
managers in planning and decision making relative
to resource allocation.
 Thisbelongs to the broader field of
mathematical programming.
 Inthis sense, programming refers to modeling
and solving a problem mathematically.
Requirements of a Linear Programming Problem

 All LP problems have 4 properties in common:

1. All problems seek to maximize or minimize some
quantity (the objective function).
2. Restrictions or constraints that limit the degree to
which we can pursue our objective are present.
3. There must be alternative courses of action from
which to choose.
4. The objective and constraints in problems must be
expressed in terms of linear equations or
inequalities.
 Basic Assumptions of LP

 We assume conditions of certainty exist and numbers

in the objective and constraints are known with
certainty and do not change during the period being
studied.
 We assume proportionality exists in the objective
and constraints.
 We assume additivity in that the total of all
activities equals the sum of the individual activities.
 We assume divisibility in that solutions need not be
whole numbers.
 All answers or variables are nonnegative.
LP Properties and Assumptions

PROPERTIES OF LINEAR PROGRAMS

1. One objective function
2. One or more constraints
3. Alternative courses of action
4. Objective function and constraints are linear –
proportionality and divisibility
5. Certainty
6. Divisibility
7. Nonnegative variables
Formulating LP Problems
 Formulating a linear program involves developing a
mathematical model to represent the managerial problem.
 The steps in formulating a linear program are:
1. Completely understand the managerial problem being
faced.
2. Identify the objective and the constraints.
3. Define the decision variables.
4. Use the decision variables to write mathematical
expressions for the objective function and the
constraints.
Formulating LP Problems

 One of the most common LP applications is the

product mix problem.
 Two or more products are produced using limited
resources such as personnel, machines, and raw
materials.
 The profit that the firm seeks to maximize is based on
the profit contribution per unit of each product.
 The company would like to determine how many units
of each product it should produce so as to maximize
overall profit given its limited resources.
 Flair Furniture Company
◼ The Flair Furniture Company produces inexpensive tables and
chairs.
◼ Processes are similar in that both require a certain amount of
hours of carpentry work and in the painting and varnishing
department.
◼ Each table takes 4 hours of carpentry and 2 hours of painting
and varnishing.
◼ Each chair requires 3 of carpentry and 1 hour of painting and
varnishing.
◼ There are 240 hours of carpentry time available and 100 hours
of painting and varnishing.
◼ Each table yields a profit of $70 and each chair a profit of $50.
 Flair Furniture Company Data

The company wants to determine the best combination

of tables and chairs to produce to reach the maximum
profit.

HOURS REQUIRED TO
PRODUCE 1 UNIT

(C) AVAILABLE HOURS

DEPARTMENT (T) TABLES CHAIRS THIS WEEK

Carpentry 4 3 240

Painting and varnishing 2 1 100

Profit per unit $70 $50

 Flair Furniture Company
◼ The objective is to: Maximize profit

◼ The constraints are:

1. The hours of carpentry time used cannot exceed 240
hours per week.
2. The hours of painting and varnishing time used cannot
exceed 100 hours per week.

◼ The decision variables representing the actual decisions we

will make are:
T = number of tables to be produced per week.
C = number of chairs to be produced per week.
 Flair Furniture Company

◼ We create the LP objective function in terms of T and C:

Maximize profit = $70T + $50C

◼ Develop mathematical relationships for the two constraints:

◼ For carpentry, total time used is:
(4 hours per table)(Number of tables produced)
+ (3 hours per chair)(Number of chairs produced).
◼ We know that:
Carpentry time used ≤ Carpentry time available.
4T + 3C ≤ 240 (hours of carpentry time)
 Flair Furniture Company
◼ Similarly,
Painting and varnishing time used
≤ Painting and varnishing time available.
2 T + 1C ≤ 100 (hours of painting and varnishing time)

This means that each table produced

requires two hours of painting and
varnishing time.

◼ Both of these constraints restrict production capacity

and affect total profit.
 Flair Furniture Company
The values for T and C must be nonnegative.
T ≥ 0 (number of tables produced is greater than or
equal to 0)
C ≥ 0 (number of chairs produced is greater than
or equal to 0)

The complete problem stated mathematically:

Maximize profit = $70T + $50C
subject to
4T + 3C ≤ 240 (carpentry constraint)
2T + 1C ≤ 100 (painting and varnishing constraint)
T, C ≥ 0 (nonnegativity constraint)
Graphical Solution to an LP Problem

◼ The easiest way to solve a small LP problems is

graphically.
◼ The graphical method only works when there are
just two decision variables.
◼ When there are more than two variables, a more
complex approach is needed as it is not possible to
plot the solution on a two-dimensional graph.
◼ The graphical method provides valuable insight into
how other approaches work.
Graphical Representation of a Constraint
Quadrant Containing All Positive Values
C

100 –
– This Axis Represents the Constraint T ≥ 0
80 –
Number of Chairs

–
60 –
–
40 –
This Axis Represents the
– Constraint C ≥ 0
20 –
–
|– | | | | | | | | | | |
0 20 40 60 80 100 T
Number of Tables
Graphical Representation of a Constraint

 The first step in solving the problem is to identify a set

or region of feasible solutions.
 To do this we plot each constraint equation on a graph.
 We start by graphing the equality portion of the
constraint equations:
4T + 3C = 240
 We solve for the axis intercepts and draw the line.
Graphical Representation of a Constraint

 When Flair produces no tables, the carpentry

constraint is:
4(0) + 3C = 240
3C = 240
C = 80
 Similarly for no chairs:
4T + 3(0) = 240
4T = 240
T = 60
 This line is shown on the following graph:
Graphical Representation of a Constraint
Graph of carpentry constraint equation
C

100 –
–
80 – (T = 0, C = 80)
Number of Chairs

–
60 –
–
40 –
– (T = 60, C = 0)
20 –
–
|– | | | | | | | | | | |
0 20 40 60 80 100 T
Number of Tables
Graphical Representation of a Constraint
Region that Satisfies the Carpentry Constraint
C

100 –
– ◼ Any point on or below
80 – the constraint plot will
Number of Chairs

not violate the

–
restriction.
60 –
◼ Any point above the
–
(30, 40) (70, 40) plot will violate the
40 – restriction.
–
20 –
– (30, 20)
|– | | | | | | | | | | |
0 20 40 60 80 100 T
Number of Tables
 Graphical Representation of a Constraint

 The point (30, 40) lies on the plot and exactly satisfies
the constraint
4(30) + 3(40) = 240.

 The point (30, 20) lies below the plot and satisfies the
constraint
4(30) + 3(20) = 180.

 The point (70, 40) lies above the plot and does not
satisfy the constraint
4(70) + 3(40) = 400.
Graphical Representation of a Constraint

Region that Satisfies the Painting and Varnishing

Constraint
C

100 –
(T = 0, C = 100)
–
80 –
Number of Chairs

–
60 –
–
40 –
– (T = 50, C = 0)
20 –
–
|– | | | | | | | | | | |
0 20 40 60 80 100 T
Number of Tables
Graphical Representation of a Constraint

 To produce tables and chairs, both departments must be

used.
 We need to find a solution that satisfies both constraints
simultaneously.
 A new graph shows both constraint plots.
 The feasible region (or area of feasible solutions) is where
all constraints are satisfied.
 Any point inside this region is a feasible solution.
 Any point outside the region is an infeasible solution.
Graphical Representation of a Constraint

C
Feasible 100 –
Solution –
Region for Number of Chairs 80 – Painting/Varnishing Constraint
the Flair –
60 –
Furniture
–
Company 40 –
Problem –
Carpentry Constraint
20 – Feasible
– Region
|– | | | | | | | | | | |
0 20 40 60 80 100 T
Number of Tables
Graphical Representation of a Constraint
 For the point (30, 20)
Carpentry 4T + 3C ≤ 240 hours available
constraint (4)(30) + (3)(20) = 180 hours used ✓
Painting 2T + 1C ≤ 100 hours available
constraint (2)(30) + (1)(20) = 80 hours used
✓

◼ For the point (70, 40)

Carpentry 4T + 3C ≤ 240 hours available

constraint (4)(70) + (3)(40) = 400 hours used 
Painting 2T + 1C ≤ 100 hours available
constraint (2)(70) + (1)(40) = 180 hours used 
Graphical Representation of a Constraint

 For the point (50, 5)

Carpentry 4T + 3C ≤ 240 hours available

constraint (4)(50) + (3)(5) = 215 hours used ✓

Painting 2T + 1C ≤ 100 hours available

constraint (2)(50) + (1)(5) = 105 hours used 
Isoprofit Line Solution Method
 Once the feasible region has been graphed, we need
to find the optimal solution from the many possible
solutions.
 The speediest way to do this is to use the isoprofit
line method.
 Starting with a small but possible profit value, we
graph the objective function.
 We move the objective function line in the direction
of increasing profit while maintaining the slope.
 The last point it touches in the feasible region is the
optimal solution.
Isoprofit Line Solution Method

 For Flair Furniture, choose a profit of $2,100.

 The objective function is then
$2,100 = 70T + 50C
 Solving for the axis intercepts, we can draw the graph.
 This is obviously not the best possible solution.
 Further graphs can be created using larger profits.
 The further we move from the origin, the larger the profit
will be.
 The highest profit ($4,100) will be generated when the
isoprofit line passes through the point (30, 40).
 Isoprofit Line Solution Method

C
Profit line
of $2,100 100 –
–
Plotted Number of Chairs 80 –
for the –
Flair 60 –
Furniture – $2,100 = $70T + $50C
(0, 42)
Company 40 –
–
(30, 0)
20 –
–
|– | | | | | | | | | | |
0 20 40 60 80 100 T
Number of Tables
Isoprofit Line Solution Method

Four C
Isoprofit 100 –
Lines –
$3,500 = $70T + $50C
Plotted 80 –
Number of Chairs

for the – $2,800 = $70T + $50C

60 –
Flair
– $2,100 = $70T + $50C
Furniture 40 –
Company – $4,200 = $70T + $50C
20 –
–
|– | | | | | | | | | | |
0 20 40 60 80 100 T
Number of Tables
 Isoprofit Line Solution Method

C
Optimal
100 –
Solution
–
to the Number of Chairs 80 –
Flair –
Maximum Profit Line
Furniture 60 – Optimal Solution Point
problem – (T = 30, C = 40)
40 –
– $4,100 = $70T + $50C
20 –
–
|– | | | | | | | | | | |
0 20 40 60 80 100 T
Number of Tables
 Corner Point Solution Method

 A second approach to solving LP problems employs the

corner point method.
 It involves looking at the profit at every corner point of
the feasible region.
 The mathematical theory behind LP is that the optimal
solution must lie at one of the corner points, or extreme
point, in the feasible region.
 For Flair Furniture, the feasible region is a four-sided
polygon with four corner points labeled 1, 2, 3, and 4 on
the graph.
7-32
 Corner Point Solution Method

C
Four
Corner 100 –
Points of 2 –
the Number of Chairs 80 –

Feasible –
60 –
Region
–
3
40 –
–
20 –
–
1 |– | | | | | | | | | | |
0 20 40 60 80 100 T
4
Number of Tables
 Corner Point Solution Method
◼ To find the coordinates for Point 3 accurately we have to solve
for the intersection of the two constraint lines.
◼ Using the simultaneous equations method, we multiply the
painting equation by –2 and add it to the carpentry equation

4T + 3C = 240 (carpentry line)

– 4T – 2C =–200 (painting line)
C = 40

◼ Substituting 40 for C in either of the original equations

allows us to determine the value of T.

4T + (3)(40) = 240 (carpentry line)

4T + 120 = 240
T = 30
Corner Point Solution Method

Point 1 : (T = 0, C = 0) Profit = $70(0) + $50(0) = $0

Point 2 : (T = 0, C = 80) Profit = $70(0) + $50(80) = $4,000
Point 4 : (T = 50, C = 0) Profit = $70(50) + $50(0) = $3,500
Point 3 : (T = 30, C = 40) Profit = $70(30) + $50(40) = $4,100

Because Point 3 returns the highest profit, this is

the optimal solution.
 Summary of Graphical Solution Methods
ISOPROFIT METHOD

1. Graph all constraints and find the feasible region.

2. Select a specific profit (or cost) line and graph it to find the slope.
3. Move the objective function line in the direction of increasing profit (or
decreasing cost) while maintaining the slope. The last point it touches
in the feasible region is the optimal solution.
4. Find the values of the decision variables at this last point and compute
the profit (or cost).
CORNER POINT METHOD

1. Graph all constraints and find the feasible region.

2. Find the corner points of the feasible reason.
3. Compute the profit (or cost) at each of the feasible corner points.
4. Select the corner point with the best value of the objective function
found in Step 3. This is the optimal solution.