The Fleek Corporation has 5 warehouses designated A-E from which they supply 6 customers numbered 1-6. The table below gives the shipping cost in dollars per ton from each warehouse to each customer along with the monthly amounts in tons required by each customer, the capacity in tons for each warehouse and the fixed monthly cost of maintaining each warehouse. Management at Fleek suspects that the company may be “over-warehoused” and that the customers’ needs could be met more economically with fewer warehouses. Determine the shipping plan and which warehouses should remain open to satisfy the customers at minimum cost. Customers Fixed Cost $ Whse 1 2 3 4 5 6 Capacity Tons A 1675 400 685 1630 1160 2800 18 7650 B 1460 1940 970 100 495 1200 24 3500 C 1925 2400 1425 500 950 800 27 5000 D 380 1355 543 1045 665 2321 22 4100 E 922 1646 700 508 311 1797 31 2200 Demand 10 8 12 6 7 11
The Fleek Corporation has 5 warehouses designated A-E from which they supply 6 customers numbered 1-6. The table below gives the shipping cost in dollars per ton from each warehouse to each customer along with the monthly amounts in tons required by each customer, the capacity in tons for each warehouse and the fixed monthly cost of maintaining each warehouse. Management at Fleek suspects that the company may be “over-warehoused” and that the customers’ needs could be met more economically with fewer warehouses. Determine the shipping plan and which warehouses should remain open to satisfy the customers at minimum cost.
|
Customers |
Fixed Cost $ |
|||||||
|
Whse |
1 |
2 |
3 |
4 |
5 |
6 |
Capacity Tons |
|
|
A |
1675 |
400 |
685 |
1630 |
1160 |
2800 |
18 |
7650 |
|
B |
1460 |
1940 |
970 |
100 |
495 |
1200 |
24 |
3500 |
|
C |
1925 |
2400 |
1425 |
500 |
950 |
800 |
27 |
5000 |
|
D |
380 |
1355 |
543 |
1045 |
665 |
2321 |
22 |
4100 |
|
E |
922 |
1646 |
700 |
508 |
311 |
1797 |
31 |
2200 |
|
Demand |
10 |
8 |
12 |
6 |
7 |
11 |
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