NORTHWEST NEWSPRINT, INC (A)

Please read the case “NORTHWEST NEWSPRINT, INC (A)”. Based on the case details, can you answer the following questions:

Q1. What is Northwest’s overall objective?

Q2. What types of constraints do we need to consider?

Q3. Formulate the problem as LP and solve it using: • Northwest Corner Method • Least Cost Method • Vogel’s Method

Q4. What is the total profit under the original allocation?

Q5. If NORTHWEST NEWSPRINT, INC (A) company offer a rate discounts on volume larger than 100 000 tones, how this could affect your allocation solution?

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