Kelly Foods has two plants and ships canned vegetables to customers in four cities. The cost of
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Kelly Foods has two plants and ships canned vegetables to customers in four cities. The cost of shipping one case from a plant to a customer is given in the following table.
The plant in Akron has a capacity of 2,800 cases per week, and the Evansville plant can produce 4,500 cases per week. Customer orders for the next week are Chicago: 2,000 cases Cincinnati: 1,200 cases Indianapolis: 2,500 cases Pittsburgh: 1,400 cases
Find the minimum cost shipping plan. Interpret the Sensitivity report and write a short memo to the VP of Operations explaining your results.
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