Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Vela is building electric cars in their plant Edmonton. Edmonton has a monthly production of 4 0 0 cars. The newly built electric cars are

Vela is building electric cars in their plant Edmonton. Edmonton has a monthly production of 400 cars. The newly built electric cars are then transported to the dealerships in Calgary, Canmore, and Lethbridge. Electric cars are becoming popular, and the provincial government of Alberta is offering generous rebates to encourage their adoption. Because of the rebate option, the demand for electric cars has increased. The company plans to expand its capacity by constructing new plants in one or more of the following cities: Banff, Edson, Hinton, or Red Deer. Banff's estimated annual fixed cost is $30 million, with a monthly capacity of 240 cars. Edson's is $60 million, with a monthly capacity of 300 cars. Hinton's is $80 million, with a monthly capacity of 350 cars. Red Deer's is $70 million, with a monthly capacity of 250 cars. The company consultants predict that the estimated monthly demand for the cars at the dealership has increased. Calgary needs 290 cars, 250 cars for Canmore, and 500 cars for Lethbridge.
The transportation charges (in dollars) per car from each plant to each dealership are shown below.
Plants
Banff
Edson
Hinton
Calgary
500
400
200
Canmore
800
1100
500
Lethbridge
1300
600
900
Red Deer
Edmonton
200
300
1000
700
1200
500
a) Draw a network representation of this problem.
b) Define all of the decision variables clearly.
c) Formulate the objective function clearly.
d) Clearly specify all the constraints such that only constants appear on the right-hand sides of
constraints.
e) Write a single constraint showing that if Vesla is constructing in Edson, then Vela must also
construct in Hinton or Red Deer or both.
f) Write a single constraint that if Vela can construct in Banff, then Vesla must also construct in
Hinton.
g) Write a single constraint: if Vesla can construct in Banff, then Vesla cannot construct in Red
Deer.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Information Technology Project Management

Authors: Kathy Schwalbe

6th Edition

978-111122175, 1133172393, 9780324786927, 1111221758, 9781133172390, 324786921, 978-1133153726

More Books

Students also viewed these General Management questions