Question
2. The Humber Transport Company has expanded its shipping capacity by purchasing 75 trailer trucks from a competitor that went bankrupt. The company subsequently located
2. The Humber Transport Company has expanded its shipping capacity by purchasing 75 trailer trucks from a competitor that went bankrupt. The company subsequently located 25 of the purchased trucks at each of its shipping warehouses in Mississauga, Windsor, and Kingston. The company makes shipments from each of these warehouses to terminals in Montreal, New York, and Chicago. Each truck is capable of making one shipment per week. The terminal managers have each indicated their capacity for extra shipments. The manager in Montreal needs to accommodate 20 additional trucks per week, the manager in New York needs to accommodate 15 additional trucks per week, and the manager in Chicago needs to accommodate 30 additional trucks. The company makes the following profit per truckload shipment from each warehouse to each terminal. The profits differ as a result of differences in products shipped, shipping costs, and transport rates.
Terminal Warehouse A B C Montreal New York Chicago 1. Mississauga CIA $4100 CIB $3600 CIC $4500 2. Windsor C2A $2200 COB $2900 C20 $3500 3. Kingston C3A $2800 C3B $3000 T3C $4300Step by Step Solution
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