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Problem 11-16 (Static) Given the following information set up the problem in a transportation table and solve for the minimum-cost plan. Solve by modifying
Problem 11-16 (Static) Given the following information set up the problem in a transportation table and solve for the minimum-cost plan. Solve by modifying textbook Table 11.6. Demand Capacity Regular Overtime Subcontract Beginning inventory Costs Regular time Overtime Subcontract Inventory carrying cost Back-order cost PERIOD 1 2 3 550 700 750 500 500 500 50 50 50 120 120 100 100 $60 per unit $80 per unit $90 per unit $1 per unit per month $3 per unit per month Suppose that regular-time capacity will be reduced to 440 units in period 3 to accommodate a companywide safety inspection of equipment. What will the additional cost of the optimal plan be? Additional cost
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