ABC enterprises supply a single product from its two warehouses to three of its customers. The supplies at the warehouses are 120 and 150 units, respectively. The customer demands are 70, 80, and 100 units respectively. The cost of shipping one unit from warehouse i to customer j is as per the following price schedule.QuantityPrice Per Unit0 -2510$25-508$Above 506$For example: If 60 units are being shipped on a particular route, the first 25 units will be charged at the rate of 10 per unit. Similarly, the next 25 units will be charged $8 per unit and the rest at $6 per unit. Develop a linear integer programming model to determine the optimal shipment plan.

given The network picture of the transshipment problem is as trails:

Answered: ABC enterprises supply a single product…

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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ABC enterprises supply a single product from its two warehouses to three of its customers. The supplies at the warehouses are 120 and 150 units, respectively. The customer demands are 70, 80, and 100 units respectively. The cost of shipping one unit from warehouse i to customer j is as per the following price schedule.

Quantity	Price Per Unit
0 -25	10$
25-50	8$
Above 50	6$

For example: If 60 units are being shipped on a particular route, the first 25 units will be charged at the rate of 10 per unit. Similarly, the next 25 units will be charged $8 per unit and the rest at $6 per unit. Develop a linear integer programming model to determine the optimal shipment plan.

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