Note: for questions (14 - 16) please see (Material Transportation Model) file on blackboard

Seven plants have some material that must be moved to four sites, each having limited capacity. The cost to transport the material, material required to be moved, and capacity at each site are given in the Model.

Develop and solve a transportation model for this problem

14. According to the transportation model, what is the minimum total cost in millions of dollars?

a.- 13.5

b.- 15.3

c.- 20.1

d.- 28.7

15. According to the Sensitivity report, by what price should the material cost per pound of shipment be reduced to make shipment from Plant 7 to Site 2 attractive?

a.- $121

b.- $0

c.- $-17

d.- $ 17

16. According to the Sensitivity Report, which of the following is true if the material to ship from plant 1 is reduced by 2000 pound?

a. the total cost will decrease by $36,000

b.- the total cost will increase by $20,876

c.- the total cost will reduce by $46,000

d.- the total cost will not be affected

Material Transportation Model \begin{tabular}{|c|c|c|} \hline Site & Capacity & \# the capacity available at each site \\ \hline S1 & 285922 & \\ \hline S2 & 308578 & \\ \hline S3 & 111955 & \\ \hline S4 & 208555 & \\ \hline Plant & Material (lb) & \# the amount at each plant that needs to be shipped \\ \hline P1 & 20876 & \\ \hline P2 & 50870 & \\ \hline P3 & 38652 & \\ \hline P4 & 28951 & \\ \hline P5 & 87423 & \\ \hline P6 & 76190 & \\ \hline P7 & 58237 & \\ \hline \end{tabular}