An oil company distillstwo types of crude oil,A and B, to produce regular and premium
gasoline and jetfuel.There are limits on the daily availability of crude oil and the minimum
demand for the final products. Ifthe production is notsufficient to cover demand, the shortage must be made up from outside sources at a penalty. Surplus production will not be sold
immediately and will incurstorage cost.The following table provides the data ofthe situation: