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SOLVE USING EXCEL SOLVER AND SHOW FORMULAS, please 2. Agro Chemicals, a manufacturer of fertilizers, has five manufacturing plants worldwide. Table 5 S. 8 shows
SOLVE USING EXCEL SOLVER AND SHOW FORMULAS, please
2. Agro Chemicals, a manufacturer of fertilizers, has five manufacturing plants worldwide. Table 5 S. 8 shows the global locations of these plants, their production capacities, and the cost (in local currency) of producing one ton of fertilizer in each of these plants. The fertilizers manufactured in these plants are transported to meet demand in the regions of North America, Europe, South America, Asia, and South Africa. The total shipping cost (in U.S. dollars) from each plant to each demand region and the annual demand for fertilizers from each of these regions are also provided in Table 5S.8. The expected exchange rates among the countries are provided in Table 5 S.9. Cost, Capacity, and Demand Data for Agro Chemicals TABLE 55.9 Expected Exchange Rates a. If the exchange rates given in Table 5S.9 hold for next year, what should be the production level from each plant, and how should demand from each region be allocated to each of the plants? b. What impact do exchange rate fluctuations have on Agro Chemicals' production and shipping strategies
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