Question

Computers Unlimited in Problem 15 has determined that when it is unable to meet the demand for microcomputers at the universities it supplies, the universities tend to purchase microcomputers elsewhere in the future. Thus, the firm has estimated a shortage cost for each microcomputer demanded but not supplied that reflects the loss of future sales and goodwill. These costs for each university are as follows:
University ...... Cost/Microcomputer
A. Tech .......... $40
B. A & M ......... 65
C. State .......... 25
D. Central ......... 50

Solve Problem 15 with these shortage costs included. Compute the total transportation cost and the total shortage cost.



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  • CreatedJuly 17, 2014
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