Problem 15-7 (Algo) Bindley Corporation has a one-year contract to supply motors for all washing machines produced by Rinso Ltd. Rinso manufactures the washers at four locations around the country: New York City, Fort Worth, San Diego, and Minneapolis. Plans call for the following numbers of washing machines to be produced at each location: New York City Fort Worth San Diego Minneapolis Boulder Macon Gary Bindley has three plants that can produce the motors. The plants and production capacities are Macon Gary Due to varying production and transportation costs, the profit Bindley earns on each 1,000 units depends on where they were produced and where they were shipped. The following table gives the accounting department estimates of the dollar profit per unit. (Shipment will be made in lots of 1,000.) PRODUCED AT NEW YORK CITY Boulder From To Boulder Macon Gary Requirements 30,000 55,000 65,000 65,000 Candidate Solution Boulder Macon Gary Total supplied Boulder Macon 188,888 120,000 90,000 Profit 10 22 14 Gary Total prof Given profit maximization as a criterion, Bindley would like to determine how many motors should be produced at each plant and how many motors should be shipped from each plant to each destination. a. Develop a transportation grid for this problem. SHIPPED TO FORT WORTH 13 25 28 SAN DIEGO 15 22 MINNEAPOLIS 12 16 b. Find the optimal solution using Microsoft Excel. (Leave no cells blank - be certain to enter "0" wherever required.) Total Shipped New York City Fort Worth San Diego Minneapolls Supply

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Problem 15-7 (Algo)
Bindley Corporation has a one-year contract to supply motors for all washing machines produced by Rinso Ltd. Rinso manufactures the
washers at four locations around the country: New York City, Fort Worth, San Diego, and Minneapolis. Plans call for the following
numbers of washing machines to be produced at each location:
New York City
Fort Worth
San Diego
Minneapolis
Boulder
Macon
Gary
Bindley has three plants that can produce the motors. The plants and production capacities are
Macon
Gary
Due to varying production and transportation costs, the profit Bindley earns on each 1,000 units depends on where they were
produced and where they were shipped. The following table gives the accounting department estimates of the dollar profit per unit.
(Shipment will be made in lots of 1,000.)
PRODUCED AT NEW YORK CITY
Boulder
From To
Boulder
Macon
Gary
Requirements
30,000
55,000
65,000
65,000
Candidate Solution
Boulder
Macon
Gary
Total supplied
Boulder
Macon
188,888
120,000
90,000
Profit
10
22
14
Gary
Total prof
Given profit maximization as a criterion, Bindley would like to determine how many motors should be produced at each plant and
how many motors should be shipped from each plant to each destination.
a. Develop a transportation grid for this problem.
SHIPPED TO
FORT WORTH
13
25
28
SAN DIEGO
15
22
MINNEAPOLIS
12
16
b. Find the optimal solution using Microsoft Excel. (Leave no cells blank - be certain to enter "0" wherever required.)
Total Shipped
New York City Fort Worth San Diego Minneapolls
Supply
Transcribed Image Text:Problem 15-7 (Algo) Bindley Corporation has a one-year contract to supply motors for all washing machines produced by Rinso Ltd. Rinso manufactures the washers at four locations around the country: New York City, Fort Worth, San Diego, and Minneapolis. Plans call for the following numbers of washing machines to be produced at each location: New York City Fort Worth San Diego Minneapolis Boulder Macon Gary Bindley has three plants that can produce the motors. The plants and production capacities are Macon Gary Due to varying production and transportation costs, the profit Bindley earns on each 1,000 units depends on where they were produced and where they were shipped. The following table gives the accounting department estimates of the dollar profit per unit. (Shipment will be made in lots of 1,000.) PRODUCED AT NEW YORK CITY Boulder From To Boulder Macon Gary Requirements 30,000 55,000 65,000 65,000 Candidate Solution Boulder Macon Gary Total supplied Boulder Macon 188,888 120,000 90,000 Profit 10 22 14 Gary Total prof Given profit maximization as a criterion, Bindley would like to determine how many motors should be produced at each plant and how many motors should be shipped from each plant to each destination. a. Develop a transportation grid for this problem. SHIPPED TO FORT WORTH 13 25 28 SAN DIEGO 15 22 MINNEAPOLIS 12 16 b. Find the optimal solution using Microsoft Excel. (Leave no cells blank - be certain to enter "0" wherever required.) Total Shipped New York City Fort Worth San Diego Minneapolls Supply
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