University Assignment: Cafe Cost Reduction with Linear Programming

This case study focuses on minimizing the cost of ingredients (potatoes and green beans) for a cafe's casserole production using linear programming. The assignment involves setting up an objective function to minimize costs, subject to constraints related to nutritional requirements (protein, iron, vitamin C), ingredient ratios, and minimum production quantities. The student utilizes Excel Solver to find the optimal solution, analyzing the impact of changing nutrient levels and ingredient prices. The analysis includes examining the sensitivity of the cost to changes in the nutritional content, particularly focusing on the impact of iron. The results highlight how different nutrient levels influence the overall cost of the casserole, providing insights into cost optimization strategies. The assignment demonstrates the practical application of linear programming in a real-world business scenario, enabling informed decision-making regarding ingredient selection and cost management. This assignment is designed to help students understand and apply linear programming techniques to optimize costs within a business setting, considering various constraints and factors.