Solve this question by:

a) least cost method

b) northwest method

c) vogel's approximation method

PROBLEM 22 A student who is studying abroad, decided that he needs for the next four years a car for his movements. Since his costs are much he wants to carry out his wish by the most inexpensive way. What he can't decide is whether to buy an old car or a newer one. Also he does not know whether he should sell it through these four years. The following data are given. Purchase Cost of car use Car purchase price price per year ($) per year ($) ($) 19 2 30 4 18 20 304 Old car 1000 1900 2200 2500 2800 600 400 2000 New car 3800 1000 1300 1700 2300 2200 1600 1200 1000 If the student changes his car within the next four years, he will do it at the end of that year and will take a car of one of two types. However, he plans to get in the future a newer of that what he gets now. He wants to find the most appropriate solution. a) Describe how the problem can be expressed as a transportation model b) Find the initial solution using any relevant method. c) Determine the optimal solution by the solving transportation problems methodology