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Due to increased sales of computers, DELL is considering building three new distribution centers (DCs) to serve four regional sales areas. The table below shows

Due to increased sales of computers, DELL is considering building three new distribution centers (DCs) to serve four regional sales areas. The table below shows the transportation cost ($ per computer) for a computer shipping from each DC to each region. Each distribution center can supply 300000 computers. Region A needs 70000 computers, B needs 100000 computers, C needs 50000 computers, and D needs 80000 computers. The supply and demand information are also in the table below. The company is deciding a transportation plan to minimize the total transportation cost

DC A B C D Supply

1 1 3 3 2 300000

2 2 4 1 3 300000

3 3 2 2 3 300000

Demand 70000 100000 50000 80000

Xij= number of computers shipped from distribution center i to region j, i = 1,2,3 and j = A, B, C, D. The constraint for distribution center 3 is:

X3A + X3B + X3C + X3D - 300000Y1 0

X3A + X3B + X3C + X3D 300000

3X3A + 2X3B + 2X3C + 3X3D + 300000Y3 0

3X3A + 2X3B + 2X3C + 3X3D 300000

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