Question

Eastern Textiles can use any of three different processes for weaving a commemorative Newfoundland tartan. Each process has a variable cost per square metre for weaving the fabric. Due to recent advances in weaving machine technology, there is also a fixed setup cost for the weaving machine used by each process. The table shows the setup cost, variable production cost, and production for each of the three processes.

Process	Setup Cost	Production cost ($ per m^2)	Capacity (m^2)
1	$500	$0.17	30,000
2	$800	$0.14	35,000
3	$1200	$0.12	45,000

The company wants to minimize the total cost of production, subject to the constraint that it has to produce 50,000 square metres of fabric daily to meet demand.

Formulate, but do not attempt to solve, a mixed integer model which describes this situation *(No method was specified in assigned question. Feel free to complete using any method)*

Answer 1