The Sentry Lock Corporation manufactures a popular commercial security lock at plants in Macon, Louisville, Detroit, and Phoenix. The per unit cost of production at each plant is $35.50, $37.50, $39.00, and $36.25, respectively, while the annual production capacity at each plant is 18,000, 15,000, 25,000, and 20,000, respectively. Sentry's locks are sold to retailers through wholesale distributors in seven cities across the United States. The unit cost of shipping from each plant to each distributor is

Database System Concepts
7th Edition
ISBN:9780078022159
Author:Abraham Silberschatz Professor, Henry F. Korth, S. Sudarshan
Publisher:Abraham Silberschatz Professor, Henry F. Korth, S. Sudarshan
Chapter1: Introduction
Section: Chapter Questions
Problem 1PE
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- A ==== *-|
14
Problem 3.
Plants
Macon
Louisville
Detroit
Phoenix
The Sentry Lock Corporation manufactures a popular commercial security lock at plants in Macon,
Louisville, Detroit, and Phoenix. The per unit cost of production at each plant is $35.50, $37.50, $39.00,
and $36.25, respectively, while the annual production capacity at each plant is 18,000, 15,000, 25,000,
Oand 20,000, respectively. Sentry's locks are sold to retailers through wholesale distributors in seven
cities across the United States. The unit cost of shipping from each plant to each distributor is
summarized in the following table along with the forecasted demand from each distributor for the
coming year.
Demand
$2.50
Paragraph
$2.30
8.500
Tacoma San Diego Dallas Denver
$2.75
$1.90
SI
$0.90
14,500
21
$1.50
0
Unit Shipping Cost to Distributor in
$1.85
$1.60
$2.00
C
$1.25
1 Normal 1 No Spac... Heading 1 Heading 2
13,500 12.600
35
MAGANDAN
St. Louis Tampa
var der en beteken dat e para a me
$1.50
18,000
C
$1.80
Create a spreadsheet model for this problem and solve it.
b. What is the optimal solution?
$1.90
$2.25
Styles
15,000
Baltimore
$1.85
$2.00
$2.65
9,000
Sentry wants to determine the least expensive way of manufacturing and shipping locks from its
plants to the distributors. Because the total demand from distributors exceeds the total production
capacity for all the plants, Sentry realizes it will not be able to satisfy all the demand for its product
but wants to make sure each distributor will have the opportunity to fill at least 80% of the orders
received.
G
SC
A
3808
Transcribed Image Text:- A ==== *-| 14 Problem 3. Plants Macon Louisville Detroit Phoenix The Sentry Lock Corporation manufactures a popular commercial security lock at plants in Macon, Louisville, Detroit, and Phoenix. The per unit cost of production at each plant is $35.50, $37.50, $39.00, and $36.25, respectively, while the annual production capacity at each plant is 18,000, 15,000, 25,000, Oand 20,000, respectively. Sentry's locks are sold to retailers through wholesale distributors in seven cities across the United States. The unit cost of shipping from each plant to each distributor is summarized in the following table along with the forecasted demand from each distributor for the coming year. Demand $2.50 Paragraph $2.30 8.500 Tacoma San Diego Dallas Denver $2.75 $1.90 SI $0.90 14,500 21 $1.50 0 Unit Shipping Cost to Distributor in $1.85 $1.60 $2.00 C $1.25 1 Normal 1 No Spac... Heading 1 Heading 2 13,500 12.600 35 MAGANDAN St. Louis Tampa var der en beteken dat e para a me $1.50 18,000 C $1.80 Create a spreadsheet model for this problem and solve it. b. What is the optimal solution? $1.90 $2.25 Styles 15,000 Baltimore $1.85 $2.00 $2.65 9,000 Sentry wants to determine the least expensive way of manufacturing and shipping locks from its plants to the distributors. Because the total demand from distributors exceeds the total production capacity for all the plants, Sentry realizes it will not be able to satisfy all the demand for its product but wants to make sure each distributor will have the opportunity to fill at least 80% of the orders received. G SC A 3808
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