Abstract

MULTIPLE TECHNIQUES OF SOLVING LINEAR PROGRAMMING MODEL FOR THE OPTIMAL USAGE OF RAW MATERIALS AND PROFIT MAXIMIZATION IN A BAKERY

1.F.F Amurawaye,2. A.R Hassan, 3.A.O Ogunyale and 4.G. G Oyetoro.

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Abstract This research work examine the multiple techniques that can be used in solving linear programming model for the optimal usage of raw materials and profit maximization in a Bakery. The use of linear optimization techniques to solve the problem on the use of resources and profit to be maximized was considered with particular reference to Tai Solarin University of Education (TASUED) Ventures Limited, Ijagun, Ijebu ode, Ogun state, Nigeria. Data used for this study were collected from Bakery section of the organization. This research work utilized the concept of Simplex algorithm, Microsoft Excel solver, LINGO18.0 software and Graphical method to assign limited resources to competing decision variables such as (small loaf and big loaf) for the purpose of profit maximization. Based On the data collected on the amount of raw materials available, the result shows that more of small loaf should be produced to optimize the use of raw materials and to maximize profit for the organization. Keywords: Constraints, decision variables, linear programming, objective function, optimal solution.

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