The energy economy of an area is composed of four industries: gas, coal, hydroelectric, and nuclear. The three main
consumers of energy are area residential consumers, a manufacturing plant, and a university. Assume that each consumer
may use some of the energy produced by each industry, and also that each industry uses some of the energy produced by
each of the other industries. The energy needs of each consumer and industry is represented by a demand vector whose
entries, in order, give the amount of gas, coal, hydroelectric, and nuclear energy needed by each consumer or industry, in
some convenient units. The demand vectors for the consumers are: DR=2 4 0 1 ; DM=3 0 2 5 ; DU=0 3 5 1 ;
and the demand vectors for the industries are: DG=0 1 3 2 ; DC=4 0 1 2 ; DH=3 1 0 1 ; DN=2 1 3 0 . The
price of gas is $15,000 per unit, the price of coal is $10,000 per unit, the price of hydroelectric power is $7000 per unit, and
the price of nuclear energy is $9000 per unit. These prices can be represented by the (column) price vector:
P =
15,000
10,000
7000
9000
Find the income earned by the nuclear industry and its cost for the other forms of energy it
uses. Then calculate its profit.
In the energy demand problem above, the demand vectors could be represented in a 2 row matrix, where row 1 contains
the energy demands of the consumers and row 2 contains the energy demands of the energy industries:
D =5 7 7 7
9 3 7 5
A boom in the economy causes an across the board increase of 10% in energy demands in
the area. Calculate a new demand matrix which reflects this increase.
A bookstore has 100 dictionaries, 70 cookbooks, and 90 thesauruses in stock, and a second
store with 85 dictionaries, 95 cookbooks, and 60 thesauruses in stock. If the value of each
dictionary is $28, each cookbook is $22 and each thesaurus is $16, use the matrix operations
on a graphing calculator to find the total value of the bookstore’s inventory.