DI 9.2-8. The Cost-Less Corp. supplies its four retail outlets from its four plants. The shipping...

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DI 9.2-8. The Cost-Less Corp. supplies its four retail outlets from its four plants. The shipping cost per shipment from each plant to each retail outlet is given below. Unit Shipping Cost Retail Outlet 1 2 3 4 1 $500 $200 $300 $600 $400 $200 Plant 2 $900 $100 $300 3 $400 $200 $100 $200 4 $200 $100 $300 Plants 1, 2, 3, and 4 make 10, 20, 20, and 10 shipments per month, respectively. Retail outlets 1, 2, 3, and 4 need to receive 20, 10, 10, and 20 shipments per month, respectively. The distribution manager, Randy Smith, now wants to deter- mine the best plan for how many shipments to send from each plant to the respective retail outlets each month. Randy's objective is to minimize the total shipping cost. (a) Formulate this problem as a transportation problem by con- structing the appropriate parameter table. (b) Use the northwest corner rule to construct an initial BF solution. (c) Starting with the initial basic solution from part (b), interac- tively apply the transportation simplex method to-obtain an op- timal solution. DI 9.2-8. The Cost-Less Corp. supplies its four retail outlets from its four plants. The shipping cost per shipment from each plant to each retail outlet is given below. Unit Shipping Cost Retail Outlet 1 2 3 4 1 $500 $200 $300 $600 $400 $200 Plant 2 $900 $100 $300 3 $400 $200 $100 $200 4 $200 $100 $300 Plants 1, 2, 3, and 4 make 10, 20, 20, and 10 shipments per month, respectively. Retail outlets 1, 2, 3, and 4 need to receive 20, 10, 10, and 20 shipments per month, respectively. The distribution manager, Randy Smith, now wants to deter- mine the best plan for how many shipments to send from each plant to the respective retail outlets each month. Randy's objective is to minimize the total shipping cost. (a) Formulate this problem as a transportation problem by con- structing the appropriate parameter table. (b) Use the northwest corner rule to construct an initial BF solution. (c) Starting with the initial basic solution from part (b), interac- tively apply the transportation simplex method to-obtain an op- timal solution.

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a Formulation as transportation Parameter tableis following b Northwest corner rule In NWC method we ... View the full answer