Operations Management: Processes and Supply Chains, Student Value Edition Plus MyLab Operations Management with Pearson eText -- Access Card Package (12th Edition)
Operations Management: Processes and Supply Chains, Student Value Edition Plus MyLab Operations Management with Pearson eText -- Access Card Package (12th Edition)
12th Edition
ISBN: 9780134855424
Author: Lee J. Krajewski, Manoj K. Malhotra, Larry P. Ritzman
Publisher: PEARSON
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Chapter 13, Problem 14P

A

Summary Introduction

Interpretation: The optimal solution should be determined.

Concept Introduction: Decision making is a process of determining the alternative option to a given situation. It reaches the most suitable option for action. During decision making, the factors and some uncertainties are taken to consider.

B

Summary Introduction

Interpretation: The total cost of the solution should be calculated.

Concept Introduction: Decision making is a process of determining the alternative option to a given situation. It reaches the most suitable option for action. During decision making, the factors and some uncertainties are taken to consider.

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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 their 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 1 $1.70 $1.90 $1.60 $1.70 2 $1.40 $1.90 $1.60 $1.70 3 $1.60 $1.50 $1.80 $1.40 a. Which of the following statements regarding setting up the tableau for the optimal solution for this problem is true? O A. The sum of supply capacities is greater than the sum of demands, so a dummy distribution center needed, O B. The sum of supply capacities is less than the sum of demands, so a dummy wholesaler is needed. C. The sum of supply capacities…
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 their 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 D $1.90 $1.90 $1.70 $1.60 $1.70 2 $1.40 $1.60 $1.70 3 $1.60 $1.50 $1.80 $1.40 a. Which of the following statements regarding setting up the tableau for the optimal solution for this problem is true? O A. The sum of supply capacities is greater than the sum of demands, so a dummy distribution center is needed. O B. The sum of supply capacities is less than the sum of demands, so a dummy wholesaler is needed. O C. The sum of supply capacities…
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 their 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 a. Determine the optimal solution. Show that all capacities have been exhausted and that all demands can be met with this solution. b. What is the total cost of the solution?
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