The Winston Company has four distribution centers (A, B, C, and D) that require 40,000, 60,000, 30,000, and 50,000 gallons of de-ionized water, respectively, per month for cleaning its long-haul trucks. Three de-ionized water wholesalers (1, 2, and 3) indicated their willingness to supply as many as 50,000, 70,000, and 60,000 gallons, respectively. The total cost (shipping plus price) of delivering 1,000 gallons of de-ionized water from each wholesaler to each distribution center is shown in the following table:   Distribution Center Wholesaler A B C D 1 $1.30 $1.40 $1.80 $1.60 2 $1.30 $1.50 $1.80 $1.60 3 $1.60 $1.40 $1.70 $1.50 Determine the optimal solution. Show that all capacities have been exhausted and that all demands can be met with this solution. (use below table format, numbers are generic, erase them)   Distribution Center Supply Wholesaler A B C D 1 xx xx x x 400-200-150-50=0 2       xx   3     xx     Demand 200-200=0           What is the total cost of the solution?

Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter6: Optimization Models With Integer Variables
Section: Chapter Questions
Problem 2C
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The Winston Company has four distribution centers (A, B, C, and D) that require 40,000, 60,000, 30,000, and 50,000 gallons of de-ionized water, respectively, per month for cleaning its long-haul trucks. Three de-ionized water wholesalers (1, 2, and 3) indicated their willingness to supply as many as 50,000, 70,000, and 60,000 gallons, respectively. The total cost (shipping plus price) of delivering 1,000 gallons of de-ionized water from each wholesaler to each distribution center is shown in the following table:

 

Distribution Center

Wholesaler

A

B

C

D

1

$1.30

$1.40

$1.80

$1.60

2

$1.30

$1.50

$1.80

$1.60

3

$1.60

$1.40

$1.70

$1.50

  • Determine the optimal solution. Show that all capacities have been exhausted and that all demands can be met with this solution. (use below table format, numbers are generic, erase them)
 

Distribution Center


Supply

Wholesaler

A

B

C

D

1

xx

xx

x

x

400-200-150-50=0

2

     

xx

 

3

   

xx

   

Demand

200-200=0

       

 

  • What is the total cost of the solution?

 

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