Application of Linear Programming for Decision Making to Business in Whao Beverages Nig. Ltd

Abstract

: Linear Programming is a scientific method used for obtaining and determine the most optimal solution for a problem with given constraints. This technique is useful for guidance of a quantitative decision-making in different fields such as business planning, industrial engineering, production firm and to the extent of social and physical sciences. This research examines the application of linear programming to determine the product(s) that maximize(s) the profit of WHAO Beverages Nig. Ltd. The data used for this research is a secondary data obtained from the company. The method used to analyze the data is a revised simplex method of a linear programming. The findings in this research was able to formulate mathematical model for the research problem; determine the product that will yield the maximum profit for the company; and know the quantity of this product that will give this profit. Data obtained from the company undergoes two iterations, whose analysis shows that the squash drinks maximize the profit of the company at the second iteration. The quantity of SQUASH Drinks that gave the maximum profit of 264 units produced and the maximum profit of the company (WHAO Beverages Nig. Ltd.) was #2200.83.