1) Transportation costs for Legos are give in the following chart (see right): Distribution centers are across...
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Distribution centers are across the top row; plants creating legos are in the left column
(a) How should the legos be shipped to satisfy demand and minimize cost? Provide detailed solution with analysis.
(b) Suppose that you consider building a new source to satisfy demand. Choose a location and assign values for shipping to the 4 destinations. Assuming the production levels of this new facility put supply equal to demand in the table above, how should the legos be shipped to minimize costs? Comment on the change in shipping plans from what you found previously.
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Related Book For
Income Tax Fundamentals 2013
ISBN: 9781285586618
31st Edition
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
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