The state of Missouri has three major power-generating companies (A, B, and C). During the months of

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The state of Missouri has three major power-generating companies (A, B, and C). During the months of peak demand, the Missouri Power Authority authorizes these companies to pool their excess supply and to distribute it to smaller independent power companies that do not have generators large enough to handle the demand. Excess supply is distributed on the basis of cost per kilowatt hour transmitted. The following table shows the demand and supply in millions of kilowatt hours and the cost per kilowatt hour of transmitting electric power to four small companies in cities W, X, Y, and Z:


The state of Missouri has three major power-generating companies


Find an initial transmission assignment of the excess power supply. Then find the least-cost distributionsystem.

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Quantitative Analysis For Management

ISBN: 162

11th Edition

Authors: Barry Render, Ralph M. Stair, Michael E. Hanna

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