The PieceWiseExplicit.xls Model

PieceWiseExplicit

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We need to buy a specified amount of commodity. Two vendors each offer their own price curve (piecewise linear). How much should we buy from each to minimize total cost? We use a variable for each purchase level with constraints: must use all of earlier levels first.

Keywords:

Piecewise Linear | Non-convex Function | Linearization | Multi-level Production |