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Citwidge manufactures widgets at two firms, one in Memphis and one in Denver. The Memphis factory can produce up to 150 widgets per day, and
- Citwidge manufactures widgets at two firms, one in Memphis and one in Denver. The Memphis factory can produce up to 150 widgets per day, and the Denver factory can produce up to 200 widgets per day. Widgets are shipped by air to customers in Los Angeles and Boston. The customers in each city require 130 widgets per day. Because of the deregulation of airfares, Citwidge believes that it might be cheaper to first fly some widgets to New York or Chicago and then fly them to their final destinations. At most 100 widgets can be shipped from one city to another city. The costs of flying a widget are shown in the table below. SHOW IN EXCEL
a. Determine how to minimize the total cost of shipping the required widgets to the customers.
b. Suppose the capacities of both factories are reduced in increments of 10 widgets per day. Use SolverTable to see how much the common reduction can be before the total cost increases; before there is no feasible solution.
Unit Shipping Costs | To Memphis | ||||||
From | Memphis | Denver | NY | Chicago | LA | Boston | |
Denver | $8 | $13 | $25 | $28 | |||
NY | $15 | $12 | $26 | $25 | |||
Chicago | $6 | $16 | $17 | ||||
LA | $6 | $14 | $16 | ||||
Boston |
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