The Donna Donni Clothing Group owns factories in three states (Kelantan, Perak, Kuala Lumpur), which distribute to three retail dress shops in three other states (Perlis, Pahang, and Terengganu). The following table summarizes factory availabilities, projected store demands, and unit shipping costs. The shipping cost vary, and would like to find the least cost way to meet the demands at each of the state. Perlis needs to receive 900 pieces, Pahang needs 850 pieces, and Terengganu needs 650 pieces. Kelantan has 500 pieces, Perak has 800, and Kuala Lumpur has 1100.
The Donna Donni Clothing Group owns factories in three states (Kelantan, Perak, Kuala Lumpur), which distribute to three retail dress shops in three other states (Perlis, Pahang, and Terengganu). The following table summarizes factory availabilities, projected store demands, and unit shipping costs. The shipping cost vary, and would like to find the least cost way to meet the demands at each of the state. Perlis needs to receive 900 pieces, Pahang needs 850 pieces, and Terengganu needs 650 pieces. Kelantan has 500 pieces, Perak has 800, and Kuala Lumpur has 1100.
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) Use the Northwest Corner Rule to develop an initial solution.
b) Apply the Stepping-Stone Method to find the minimum transportation cost.
c) Calculate the total cost for this situation.
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