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An air conditioning manufacturer produces room air conditioners at plants in Houston, Phoenix, and Memphis. These are sent to regional distributors in Dallas, Atlanta, and Denver. The shipping costs vary, and the company would like to find the least-cost way

An air conditioning manufacturer produces room air conditioners at plants in Houston, Phoenix, and Memphis. These are sent to regional distributors in Dallas, Atlanta, and Denver. The shipping costs vary, and the company would like to find the least-cost way to meet the demands at each of the distribution centers. Dallas needs to receive 800 air conditioners per month, Atlanta needs 600, and Denver needs 200.

Houston has 850 air conditioners available each month, Phoenix has 650, and Memphis has 300. The shipping cost per unit from Houston to Dallas is $8, to Atlanta is $12, and to Denver is $10. The cost per unit from Phoenix to Dallas is $10, to Atlanta is $14, and to Denver is $9. The cost per unit from Memphis to Dallas is $11, to Atlanta is $8, and to Denver is $12. How many units should be shipped from each plant to each regional distribution center? What is the total cost for this? 9-20


Distribution
The word "distribution" has several meanings in the financial world, most of them pertaining to the payment of assets from a fund, account, or individual security to an investor or beneficiary. Retirement account distributions are among the most...

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Data COSTS Dallas Atlanta Denver Dummy Supply Origin 1 8 12 10 0 85…View the full answer


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Related Book For  answer-question
Quantitative Analysis for Management

Quantitative Analysis for Management

ISBN: 978-0132149112

11th Edition

Authors: Barry render, Ralph m. stair, Michael e. Hanna

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Question Details
Chapter # 9
Section: Discussion Questions
Problem: 19
Posted Date: August 31, 2012 06:31:39
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