3) A large drug manufacturing company faces demand for a perishable item over the next 4...

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3) A large drug manufacturing company faces demand for a perishable item over the next 4 months with the following forecasted values: 220, 250, 280 and 300 tons, respectively. The supply quantities confirmed by the supplier for the 4 months are 250, 200, 350, and 250 tons and the corresponding prices per ton are EGP100, EGP140, EGP120, and EGP150, respectively. Up to 50 additional tons may be purchased at any given month with a 50% increase in the price per ton of that month. Because the item is perishable, a current month's purchase must be totally used in the production within 3 months (including the current month). It is estimated that the storage cost per ton per month is EGP5. The nature of the production does not allow backordering (i.e. the demand of a given month must be fulfilled by the supply of the current and previous months and it cannot be satisfied by a future supply). Formulate the problem as a balanced transportation model (i.e. construct a transportation table). Do not solve the resultant transportation problem. 3) A large drug manufacturing company faces demand for a perishable item over the next 4 months with the following forecasted values: 220, 250, 280 and 300 tons, respectively. The supply quantities confirmed by the supplier for the 4 months are 250, 200, 350, and 250 tons and the corresponding prices per ton are EGP100, EGP140, EGP120, and EGP150, respectively. Up to 50 additional tons may be purchased at any given month with a 50% increase in the price per ton of that month. Because the item is perishable, a current month's purchase must be totally used in the production within 3 months (including the current month). It is estimated that the storage cost per ton per month is EGP5. The nature of the production does not allow backordering (i.e. the demand of a given month must be fulfilled by the supply of the current and previous months and it cannot be satisfied by a future supply). Formulate the problem as a balanced transportation model (i.e. construct a transportation table). Do not solve the resultant transportation problem.

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To formulate this situation as a balanced transportation model you need to create a matrix that includes your sources the supply each month and your destinations the demand each month and the cost of ... View the full answer