Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Consider a manufacturing business with two plants in cities F1 & F2 and three retail outlets in cities C1,C2, or C3. Monthly demand at retail

image text in transcribed Consider a manufacturing business with two plants in cities F1 \& F2 and three retail outlets in cities C1,C2, or C3. Monthly demand at retail locations is 8,5 , and 2 units, whereas monthly supply at manufacturers is 6 and 9 , accordingly. Notice that the entire supply and demand are equal. We are also provided with the cost of transporting one unit from manufacturing to retail outlets (see table). Determine the amount that must be shipped from each manufacturer to each retail area to satisfy demand at the lowest possible total shipping cost. 1. Formulate this as a linear programming problem. A. What is your objective function? B. What are the constraints? 2. Solve the linear programming problem using Excel Solver. Provide screenshots of Solver parameters and results. 3. What is the mathematically optimal solution? With this solution, what is the total shipping cost? 4. As the manager, what other considerations should be made before making this decision? 5. As the manager making this decision, would you use the mathematically optimal solution? Why or why not

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Management Fundamentals

Authors: Robert N. Lussier

9th Edition

154438419X, 978-1544384191

More Books

Students also viewed these General Management questions

Question

1. define character development and good sporting behavior,

Answered: 1 week ago