solution
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For this discussion board forum, you will read the following scenario and respond to this forum by answering the questions below.
Six weeks after the practice switched to a PM/EHR, Chris Yakamoto and Joseph Sanchez meet up at the coffee station. “Hey Chris, how’s it going,” asked Joseph. “Good, actually,” replied Chris. “This EHR–I was worriedI’d lose my job because of it, but it’s actually made it more interesting. I don’t spend all day entering charges from encounter forms anymore. Now I review the charges from the EHR, make any changes, and click the post button! I actually have time to read all those payer rule update notices now,” said Chris. “Same here,” replied Joseph.
“I used to get stressed about how many records I could code and still be accurate. Now I do a lot more reviewing and editing, applying what I know about guidelines and rules.” I guess there are still some things that we can do that computers can’t do,” said Chris as he finished his last sip of coffee and headed back to his desk.
The college director of global activities was hopeful that the print ads in the school newspaper and 30 second spots on the campus radio station would spur some interest in the array of study tour and study abroad options he had secured. The communications director for the college had other ideas; she favored a social media campaign consisting of tweets and Facebook postings. “This is the most ridiculous thing I ever heard of,” he whined to the dean.
The communications director’s market research revealed the following:
| Medium | Exposure | Cost |
| Newspaper | 5,000 | $500 |
| Radio | 3,000 | $250 |
| 700 | $25 | |
| 200 | $15 |
The advertising budget is $3500, but there is no requirement that all the money be spent. The newspaper has only four issues before the end of the semester, but the radio is a 24/7 operation and has two dozen 30 second slots available. Facebook postings must be alternated with the rest of the mindless drivel posted on the college page; thus there is space for only three postings before the end of the semester. Twitter is complicated by the 140-character requirement. The communications director feels she needs five tweets to convey a single message about tours and semesters abroad, so for one message, the cost would be $25 for each of the five components of the single ad. Due to thumb fatigue, she feels that she has only 2800 characters left in her thumbs before the end of the semester. (A side note – During the intersession period, she plans to embark on a strict regimen of thumb yoga to prepare for the coming semester.)
A portion of the variable cells section of the sensitivity report in Excel appears in the table below. How many potential customers will be reached by the optimal advertising campaign?
| Cell | Name | Final Value |
Reduced Cost |
Objective Coefficient |
| $C$2 | Newspaper | 0 | -1000 | 5000 |
| $D$2 | Radio | 13.76 | 0 | 3000 |
| $E$2 | 0 | -800 | 700 | |
| $F$2 | 4 | 0 | 200 |
|
17.76 |
||
|
42,080 |
||
|
8,900 |
||
|
cannot be determined from the sensitivity report |
A pharmaceutical company manufactures two drugs at Los Angeles and Indianapolis. The cost of manufacturing a pound of each drug depends on the location, as indicated in the file P13 42.xlsx. The machine time (in hours) requires to produce a pound of each drug at each city is also shown in this table. The company must produce at least 1000 pounds per week of drug 1 and at least 2000 pounds per week of drug 2. It has 500 hours per week of machine time at Indianapolis and 400 hours per week at Los Angeles.
a. Determine how the company can minimize the cost of producing the required drugs.
Hint: This problem has 4 decision variables and 4 constraints
| Drug 1 | Drug 2 | |||
| Indianapolis | Los Angeles | Indianapolis | Los Angeles | |
| Unit cost | $4.10 | $4.00 | $4.50 | $5.20 |
| Machine time | 0.20 | 0.24 | 0.30 | 0.33 |
(step by step using excel screenshots please)
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