Distribution Center Plant A B D Atlanta $800 $1300 $400 $700 Tulsa $1100 $1400 $600 $1000 Springfield $600 $1200 $800 $900
A company has three manufacturing plants (in Atlanta,
Tulsa, and Springfi eld) that produce a product that is then shipped to one of four distribution centers. Th e three plants can produce
13, 18, and 12 truckloads of product each week, respectively. Each
distribution center needs 10 truckloads of product each week. Th e
shipping costs per truckload between the plants and distribution
centers are given in the table. Th e company needs to determine
how much to ship from each plant to each distribution center and
would like to minimize total shipping costs
(a) Formulate an LP to minimize the total shipping costs.
(b) Set up and solve the problem on a spreadsheet.
(c) What is the optimal solution? Explain the rationale for the
solution
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