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Excel Data is: Unit Cost Distribution Center 1 2 3 Plant A $600 $800 $400 B $750 $700 $500 According to the professor the answers
Excel Data is:
Unit Cost | Distribution Center | |||
1 | 2 | 3 | ||
Plant | A | $600 | $800 | $400 |
B | $750 | $700 | $500 |
According to the professor the answers I got so far are partially correct and partialy wrong as shown below
Plant A center 1 should not be 1
Plant A center 2 should be 0
Plant A center 3 should not be 0
Plant B center 1 should be 0
Plant B Center 2 should be 25
Plant B Center 3 should not be 15
Total cost should not be 40,000
The Move-It Company has two plants building forklift trucks that then are shipped to three distribution centers. The production costs are the same at the two plants, and the cost of shipping each truck is shown below for each combination of plant and distribution center. Click here for the Excel Data File A total of 75 forklift trucks are produced and shipped per week. Each plant can produce and ship any amount up to a maximum of 40 trucks per week, so there is some flexibility on how to divide the total production between the two plants so as to reduce shipping costs. However, each distribution center must receive exactly 25 trucks per week. Formulate and solve a spreadsheet model for this problem. a. Management's objective is to determine how many forklift trucks should be produced at each plant and then what the overall shipping pattern should be. Note: Enter " 0 " if nothing is shipped. b. Determine the total costStep by Step Solution
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