1. The Fagersta Steelworks currently is working two mines to obtain its iron ore. This iron ore is shipped to either of two storage facilities. When needed, it then is shipped on to the company’s steel plant. The diagram below depicts this distribution network, where M1 and M2 are the two mines, S1 and S2 are the two storage facilities, and P is the steel plant. The diagram also shows the monthly amounts produced at the mines and needed at the plant, as well as the shipping cost and the maximum amount that can be shipped per month through each shipping lane. Find the minimum cost of transportation for Fagersta Steelworks considering the demand, supply and lane capacities

2. Assume a transportation problem with the parameters listed in table below. This problem has 3 sources, 3 destinations. The only limitation is no product can be shipped from source 2 to destination 2. Minimize the total cost of shipping for this transportation problem.

40 tons produced $2,000/ton MI S1 30 tons max. $1.700/ton 30 tons max. $1,600/ton 50 tons max. 60 tons M2 produced $1,100/ton 50 tons max. S2 $400/ton 70 tons max. $800/ton 70 tons max. P 100 tons needed