A fruit juice manufacturer has recently begun negotiations with brokers in the areas where it intends to distribute itsproducts. Before finalizing the agreements, however, the manager wants to determine shipping routes and costs.The firm has three plants with the capacities as shown below: Estimate demands in each of the warehouse localities are:PLANT CAPACITY (PIECES PER WEEK)WAREHOUSE123400800600ABCDDEMAND (PIECES PER WEEK)900200400300The estimated ship cost per box for the various routes are:ΤΟFROMABCD15791221072338964Row/Column Opportunity CostDemandRow/ColumnCellTotal CostOpportunity CostCost of the above Test of unallocated CellsallocationSupplyAmountchar

Answered: A fruit juice manufacturer has recently…

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter2: Introduction To Spreadsheet Modeling

Section: Chapter Questions

Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...

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a company's business model was to operate through its facilities- Vancouver, Calgary, Winnipeg, Toronto(ontario), ottawa, Montreal and Halifax. Supply comes from South America, southeast Asia, and Florida. the company was shipping first to Toronto and then to each facility at a total cost of $23095.5 per week. The company is considering the possibility of opening a logistics facility in Miami. Toronto and Vancouver were already available as transshipment centres. What would be the cost savings if Miami centre was opened and what would be the optimal shipment plan?
b. A food manufacturer wants to locate a warehouse to serve its major customers. The customers, annual volume and the X and Y coordinates are shown in the table below. Customer Annual Volume X-Coordinate Y-Coordinate Judy inc 25 3 7 Zac Supermarket 13 5 2 Harry Inc. 6 8 4 Sky Productions 4 1 5 i. Using the centre of gravity location technique, determine the location coordinates that will minimize the transportation costs for their family of products
PetSmart and PetCo are two major competitors offering pet supplies and pet food. Given the location decisions of PetSmart and PetCo in this city, you conclude that: a. PetSmart focuses on raising its quantity sold rather than raising its profit margin on each unit. b. PetSmart and Petco engage in intense price undercutting. c. PetSmart and PetCo differentiate themselves by location. d. PetCo chose its location primarily using demand side considerations.
#4. The Pelican Company has four distribution centers (A, B, C, and D) that require 50,000, 40,000, 60,000 and 40,000 liters of diesel fuel, respectively, per month for their long-haul trucks. Three fuel wholesalers (1, 2 and 3) have indicated their willingness to supply as many as 60,000, 80,000, and 50,000 liters of fuel, respectively. The total cost (shipping and price) of delivering 1000 liters of fuel from each wholesaler to each distribution center is shown in the following table. Distribution center Wholesaler A B C D • 1 1700 1600 1600 1600 2 1500 1800 1600 1700 3 1800 1500 1800 1600 I. Determine the optimal solution. Check if all capacities have been exhausted and that all demands can be met with this solution. II. What is the total cost of the solution?
Prescott Industries transports sand and stone extracted fromits open-pit mines located in Odessa and Bryan to its con-crete block manufacturing facilities in Abilene, Tyler, and SanAngelo. For the capacities, locations, and shipment costs pertruckload shown in the Figure 13.13, determine the shippingpattern that will minimize transportation costs. What are theestimated transportation costs associated with this optimalallocation pattern?
2 For a destination region with which you are familiar, conduct a critical analysis of VIC provision. . Consider the location (s) involved, the appropriateness of the buildings, the level of staffing, the services available and the hours of operation. What improvements would you suggest?
Jason Company manufactures plastic products at three locations in Malaysia: Skudai, Taiping, and Ujok. The company needs to supply the products to three clients in Penang, Kuantan, and Melaka. The production capacities of the plants are given below. Find the optimal solution using stepping stone method. Client Plant (То) Supply (From) Penang Kuantan Melaka RM50 RM40 RM60 Skudai 4000 RM30 RM45 RM40 Taiping 3000 RM60 RM35 RM30 Ujok 3000 Demand 2000 4500 3500 10000
A valve manufacturer is considering three alternative locations for a new plant for manufacturing ball valves for oil and gas industry. Since the plant ships nationwide, revenue is assumed the same regardless of plant location. The estimated annual fixed and variable costs for each site is shown in TABLE Location Costs A B C Fixed (RM) 700,000 1,000,000 $1,500,000 Variable (RM) $28 $18 $12 Identify the range of output for which each location provides the lowest total cost. Show necessary graph and calculation used in the analysis. Discuss on the finding(s).
(C) to four distribution centres. The following table shows the cost per (in RM), capacity, and demand for the company. To Distribution Centre Сарacity From F G H 8. 7 11 10 150 11 8. 9. 11 100 Demand 70 60 90 30 (a) Find an initial solution. (b) Determine an optimal solution and the minimum transportation cost. (c) Is there an alternative optimal solution? 5. Man Yee Company manufactures printers in two factories and ships them to three distribution centres. The following table shows the cost (RM) per um capacity, and demand for the company.
Solve the attachment
An auto compant currently maintains plants in Cincinnati and Tulsa to supply two distributioncenters in Boston and Phoenix. The production and distribution costs, distribution demands aswell as facility capacities are given in the table attached Using the northwest-corner method, determine the initial allocated quantity for eachshipping route as well as the overall cost.

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