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The Moore & Harman Company is in the business of buying and selling grain. An important aspect of the company's business is arranging for the
The Moore & Harman Company is in the business of buying and selling grain. An important aspect of the company's business is arranging for the purchased grain to be shipped to customers. If the company can keep freight costs low, profitability will improve. The company recently purchased five rail cars of grain at Muncie, Indiana; six rail cars at Brazil, Indiana; and three rail cars at Xenia, Ohio. Twelve carloads of grain have been sold. The locations and the amount sold at each location are as follows: Location Number of Rail Car Loads Macon, GA 3 Greenwood, SC 2 Concord, SC 4 Chatham, NC 3 All shipments must be routed through either Louisville or Cincinnati. Shown are the shipping costs per bushel (in cents) from the origins to Louisville and Cincinnati and the costs per bushel to ship from Louisville and Cincinnati to the destinations. A rail car holds 3,200 bushels of grain. Cost per bushel in cents To From Louisville Cincinnati Muncie 8 Brazil 3 8 Xenia 3 Cost per bushel in cents To From Macon Greenwood Concord Chatham Louisville 44 34 34 32 Cincinnati 57 351 28 24 (a) Determine a shipping schedule that will minimize the freight costs necessary to satisfy demand. Enter the values that complete the shipping schedule. Number of Cars to Ship To From Louisville Cincinnati Muncie Brazil XeniaNumber of Cars to Ship To From Mano n Greenwood Concord Chatha m Louisville I I I I Cincinnati I: I: I: I: (b) which {if any) rail cars of grain must be held at the origin until buyers can be found? Enter the number of care at each starting location that must be held. Number of Cars Remaining
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