A microbrewery company in Portland, Oregon, operates two breweries that supply its popular craft beer to five

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A microbrewery company in Portland, Oregon, operates two breweries that supply its popular craft beer to five local restaurants. The first brewery can produce 56 barrels of craft beer per week, and the second brewery can produce 72 barrels per week. The delivery cost per barrel and the average weekly order from each of the five restaurants are summarized in the following table. 


a. Formulate and solve an IP model to determine the number of barrels of craft beer to be shipped from each brewery to the restaurants. What is the lowest delivery cost that the microbrewery would incur? 

b. How many barrels of craft beer should the microbrewery ship from each brewery to each of the five restaurants in order to minimize the total delivery cost?

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Business Analytics Communicating With Numbers

ISBN: 9781260785005

1st Edition

Authors: Sanjiv Jaggia, Alison Kelly, Kevin Lertwachara, Leida Chen

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