Universal Claims Processors processes insurance claims for large national insurance companies. Most


Question: Universal Claims Processors processes insurance claims for large national insurance companies. Most claim processing is done by a large pool of computer operators, some of whom are permanent and some of whom are temporary. A permanent operator can process 16 claims per day, whereas a temporary operator can process 12 per day, and on average the company process at least 450 claims each day. The company has 40 computer workstations. A permanent operator generates about 0.5 claims with errors each day, whereas a temporary operator averages about 1.4defective claims per day. The company wants to limit claims with errors to 25 per day. A permanent operator is paid $64 per day, and a temporary operator is paid $42 per day. The company wants to determine the number of permanent and temporary operators to hire in order to minimize costs.

a. Formulate linear programming model for this problem.

Price: $2.99
Solution: The solution consists of 2 pages
Solution Format: Word Document

log in to your account

Don't have a membership account?
REGISTER

reset password

Back to
log in

sign up

Back to
log in