Your job is to develop an LP model of Shelby's problem, and finally make a recommendation to Shelby management, with a short verbal argument supporting the engineer or the controller.
1) Establish a formal LP model in EXCEL spreadsheet. In so doing, describe the spreadsheet model. Use the Solver to obtain the optimal solution and obtain the Solver's sensitivity report.
2) Using the sensitivity report, identify the shadow prices associated with the stamping and forming constraints machines and interpret them. Discuss for what ranges these shadow prices are valid.
3) Using the sensitivity report, identify the ranges of optimality and interpret them.