2. A company has plants at locations A, B and C with the daily capacity to produce chemicals to a maximum of 3000 kg, 1000 kg and 2000 kg respectively. The cost of production (per kg) are P800, P900 and P750 respectively. Customer's requirement of chemicals per day is as follows: Customer Chemical Required Price offered 1 2000 200 2 1000 215 3 2500 225 1000 200 Transportation cost per kg from plant locations to customer's place is given in table. Customer 2 3 A 5 7 10 12 Plant B 7 3 4 2 с 4 6 3 9 Find the transportation schedule that minimizes the total transportation cost.

Practical Management Science
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ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
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2. A company has plants at locations A, B and C with the daily capacity to produce
chemicals to a maximum of 3000 kg, 1000 kg and 2000 kg respectively. The cost
of production (per kg) are P800, P900 and P750 respectively. Customer's
requirement of chemicals per day is as follows:
Customer
Chemical Required
Price offered
2000
200
2
1000
215
3
2500
225
1000
200
Transportation cost per kg from plant locations to customer's place is given in
table.
Customer
2
3
A
5
7
10
12
Plant
B
3
4
2
с
3
Find the transportation schedule that minimizes the total transportation cost.
Transcribed Image Text:2. A company has plants at locations A, B and C with the daily capacity to produce chemicals to a maximum of 3000 kg, 1000 kg and 2000 kg respectively. The cost of production (per kg) are P800, P900 and P750 respectively. Customer's requirement of chemicals per day is as follows: Customer Chemical Required Price offered 2000 200 2 1000 215 3 2500 225 1000 200 Transportation cost per kg from plant locations to customer's place is given in table. Customer 2 3 A 5 7 10 12 Plant B 3 4 2 с 3 Find the transportation schedule that minimizes the total transportation cost.
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