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Manufacturer has two factories, located in Toronto and Winnipeg. Warehouses are located in Moncton, Montreal, and Calgary. Minimum requirements at the three warehouses are for
Manufacturer has two factories, located in Toronto and Winnipeg. Warehouses are located in Moncton, Montreal, and Calgary. Minimum requirements at the three warehouses are for at least and units, respectively. The production capacities of the two factories are and units, respectively. Shipping costs per unit from each factory to each warehouse are given below:
WAREHOUSE
Required
The manufacturer wants to determine the optimal shipping schedule that will minimize transportation costs.
Required
i Formulate the linear programming model for this problem. Marks
ii Generate initial solution using Vogel's Approximation Method and the Least Cost Method Marks
iii. Test the solution for optimality generated using the stepping stone Method Marks
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