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The San Miguel Corporation manufactures and markets dairy products nationwide. The company has final processing plants in LAGUNA and CAVITE in which the labor costs
The San Miguel Corporation manufactures and markets dairy products nationwide. The company has final processing plants in LAGUNA and CAVITE in which the labor costs are low. Its three major outlets are located near the large market areas of QUEZON CITY, MAKATI, and MANILA. The sales requirements for next month at the Quezon city outlet are 15,000 units, at the MAKATI outlet 8,000 units, and at the MANILA outlet 10,000 units. The processing plant in each location is limited. The processing plant in LAGUNA can produce and transport 20,000 units; the processing plant in CAVITE can produce 16,000 units. The estimated cost of transporting the product from the processing plants to each outlet differs these units shipping cost are shown in the table below. To MANILA MAKATI QUEZON CITY SUPPLY From LAGUNA 40 30 50 CAVITE 30 10 50 DEMAND DETERMINE THE PIVOT IN TABLE 3
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