2. ABC is an auto parts manufacture. ABC has forecasted that the electric vehicles would have a huge potential in European market, where people are more concerned on environment. ABC plans to expand the capacity of electric motor manufacturing in three new locations, Riga, Prague, and Warsaw. ABC forecasts it sells 20,000 units/year under the current economic scenario. ABC's expected selling price of each unit of electric motor is 1,200 euro. You are asked to conduct an analysis on location selection. Your assistant gathered the annual costs data and summarized in the table below. Riga Prague Warsaw Fixed cost 3,000,000 6,000,000 11,000,000 Variable cost/unit 750 450 250 1. (This is the Problem 4 in the Supplement B in the textbook.) FiberTech makes newsprint for newspapers at three mills, A, B, and C. The cost of producing newsprint is estimated to be $210 at mill A, $225 at B, and $220 at C. Five primary geographical markets are served from these mills. The monthly demand at each market, the shipping cost (per ton) between each mill and market, and the monthly production capacity of each mill are given in the table. Shipping Cost per ton Market Mills 12345 $20 $25 $30 $15 $35 $30 - $20 $32 $28 $25 $18 $28 $23 $31 Capacity (tons/month) 1200 1500 900 600 100 500 800 500 Monthly Demand (tons) FiberTech would like to assign production responsibilities to the mills, and also specify how much should be shipped from each plant to each market, so as to minimize total production and distribution costs. a. What is the optimal solution? b. When the optimal solution is obtained, complete the table in the answer sheet showing how much should be shipped from each plant to each market