Question
A company has a current shipping schedule, which is being questioned by the management as to whether or not it is optimal. The firm has
A company has a current shipping schedule, which is being questioned by the management as to whether or not it is optimal. The firm has three factories and five warehouses. The necessary data in terms of transportation costs in Rs. per unit from a factory to a destination and factory capacities and warehouse requirements are as follows:
Factories. (Transportation costs in Rs. per unit.) Warehouses. X Y Z Requirement of warehouses in units. A 5 4 8 400 B 8 7 4 400 C 6 7 6 500 D 6 6 6 400 E 3 5 4 800 Factory capacities. 800 600 1100
1) Solve it with LCM (Least Cost Method) then MODI (modified distribution)
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