The shipping cost per unit from each plant to each distribution center is as follows:Plant SiteDetroitToledoDenverKansas CitySt. LouisBoston549108Distribution CentersAtlanta23744Houston34523(a) Develop a mixed-integer programming model that could be used to help Martin-Beck determine which new plant or plants to open in orderto satisfy anticipated demand. Solve the model and answer the following questions. What is the optimal cost?$ 104800What is the optimal set of plants to open?Detroit & Toledo(b) Using equation 13.1, find a second-best solution. What is the optimal set of plants to open?DenverWhat is the increase in cost versus the best solution from part (a)?$ 120000 The Martin-Beck Company operates a plant in St. Louis with an annual capacity of 30,000 units. Product is shipped to regional distributioncenters located in Boston, Atlanta, and Houston. Because of an anticipated increase in demand, Martin-Beck plans to increase capacity byconstructing a new plant in one or more of the following cities: Detroit, Toledo, Denver, or Kansas City. The estimated annual fixed cost and theannual capacity for the four proposed plants are as follows:Proposed PlantAnnual Fixed CostDetroit$175,000Toledo$300,000Denver$375,000Kansas City$500,000The company's long-range planning group developed forecasts of the anticipated annual demand at the distribution centers as follows:Distribution CenterBostonAtlantaHoustonAnnual Capacity20,00030,00040,00010,000Annual Demand30,00020,00020,000

Find the given details below:Note that part b is not so clear since there are no details regarding…

Answered: The Martin-Beck Company operates a…

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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Smart Corporation produces and sells laptops. It has four factories and four shops located in different cities. The management of Smart Corporation has just bought a new machine that can improve its productivity. After using the new machine, Smart Corporation's production has increased by 500 units. Therefore, the management has decided to open a new shop and two cities are under their consideration. The two cities under consideration are City E and City F. The shipping cost per unit (RM), factory supplies, and shop demands are as follows Factory Shop Supply A I || IV Demand B 30 40 35 40 с 30 35 50 30 600 700 D E F 45 55 50 45 40 50 35 60 30 45 40 45 55 45 50 55 400 600 500 500 700 800 700 600 1. Determ the best choice of city to open the new shop. Why? 2. Due to the shipping limitation, no unit shall be shipped from I to City B. What would happen to the answer in (a)?
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Read the scenarios below to answer the following question : After operating from the founder’s garage for three years, the team at Yebo Sauce, a condiment manufacturing business, that is dealing primarily in table sauces, has decided that it is time to expand their operation to the rest of Gauteng province. The implication of this expansion is that they need to introduce wide-ranging supply chain management processes within the business. As the newly appointed head for the logistics part of the operation, your primary focus is to align all employees and managers to the key concepts, processes and implications of adopting the necessary supply chain processes. Sauces & Spices Revenue in the Sauces & Condiments segment amounts to US$486.40m in 2022. The market is expected to grow annually by 3.49% (CAGR 2022-2027). In global comparison, most revenue is generated in China (US$38.24bn in 2022). In relation to total population figures, per person revenues of US$8.01 are generated…
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A flood control reservoir project and channel improvement project are proposed for reducing flood damages along a stream in an urban area. Estimated costs are as follows: Dam and reservoir project Channel improvement project Initial investment $1,500,000 $1,200,000 Annual maintenance $10,000/yr $5,000/yr Hydrologic, hydraulic and economic studies have been conducted to develop the following relationships for the river reach and flood plain: (a) annual exceedance probability versus peak discharge with and without the reservoir, (b) discharge versus stage with and without the channel improvement, and (c) stage versus damage Annual Peak discharge Stage (ft) exceedance (cfs) probability Without With Discharge reservoir reservoir (cfs) Without With Stage Damage project project (ft) million) 0.50 3,000 2,700 0 0 0 9 0.0 0.20 5,400 0.10 7,600 4,200 3,500 5,000 10. 7 10 0.2 10,000 15° 11 15 1.1 0.05 10,400 5,500 15,000 20 14 20 2.2 0.02 0.01 19,000 0.005 24,000 20,000 15,000 8,600 20,000 23 17…
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