Question: Set the following problem up in transportation format and solve for the minimum cost plan. Period Feb Mar Apr Demand 70 75 Regular 50 50
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Period Feb Mar Apr Demand 70 75 Regular 50 50 Overtime Subcontract 12 12 10 Beginning Inventory10 Costs Regular time $60 per unit $80 per unit $90 per unit Overtime Subcontract Inventory carrying cost $1 per unit per month Back order cost $3 per unit per month
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