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Linear programming is a valuable instrument when it comes to decision making. This post shows how R in conjunction with the lpSolveAPI package, can be used to build a linear programming model and to analyse its results.
The lpSolveAPI package provides a complete implementation of the lp_solve API.
The example case;
A trading company is looking for a way to maximize profit per transportation of their goods. The company has a train available with 3 wagons. When stocking the wagons they can choose between 4 types of cargo, each with its own specifications. How much of each cargo type should be loaded on which wagon in order to maximize profit?