What is the lowest cost solution for the existing set of plants and regional centres?
What is the lowest cost solution for the existing set of plants and regional centres?
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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Question
![FlexSteal, marketed as a miracle brush-on sealant and baldness cure, is manufactured at three plants which supply the demand at the four
regional centres in the United States. The cost to ship a truckload from each of the plants to the regional centres is shown in the table
below. Note that the capacity and the total demand are both measured in truckloads.
Plant 1
Plant 2
Plant 3
Total Demand (units)
A) $106,850
B) $107,450
C) $108,500
Philadelphia
D) $109,750
$89
$120
$95
300
Atlanta
$75
$88
$82
1. What is the lowest cost solution for the existing set of plants and regional centres?
300
Dallas
$93
$103
$112
300
Los Angeles
$115
$93
$98
300
Capacity (units)
400
400
400](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F8d8900b6-dbf8-4b89-8229-6df397171feb%2F10c3e3d3-e608-404b-bfba-f129a139fe4a%2Fd7ugjgp_processed.png&w=3840&q=75)
Transcribed Image Text:FlexSteal, marketed as a miracle brush-on sealant and baldness cure, is manufactured at three plants which supply the demand at the four
regional centres in the United States. The cost to ship a truckload from each of the plants to the regional centres is shown in the table
below. Note that the capacity and the total demand are both measured in truckloads.
Plant 1
Plant 2
Plant 3
Total Demand (units)
A) $106,850
B) $107,450
C) $108,500
Philadelphia
D) $109,750
$89
$120
$95
300
Atlanta
$75
$88
$82
1. What is the lowest cost solution for the existing set of plants and regional centres?
300
Dallas
$93
$103
$112
300
Los Angeles
$115
$93
$98
300
Capacity (units)
400
400
400
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