Question: 4 Problem 15-7 (Algo) 3 points Bindley Corporation has a one-year contract to supply motors for all washing machines produced by Rinso Ltd. Rinso manufactures

4 Problem 15-7 (Algo) 3 points Bindley

4 Problem 15-7 (Algo) 3 points Bindley

4 Problem 15-7 (Algo) 3 points Bindley Corporation has a one-year contract to supply motors for all washing machines produced by Rinso Ltd. Rinso manufactures the washers at four locations around the country: New York City, Fort Worth, San Diego, and Minneapolis. Plans call for the following numbers of washing machines to be produced at each location: New York City Fort Worth San Diego Minneapolis 20,000 100,000 80,000 95,000 Bindley has three plants that can produce the motors. The plants and production capacities are Boulder Macon Gary 100,000 150,000 80,000 Due to varying production and transportation costs, the profit Bindley earns on each 1,000 units depends on where they were produced and where they were shipped. The following table gives the accounting department estimates of the dollar profit per unit. (Shipment will be made in lots of 1,000.) PRODUCED AT Boulder Macon Gary NEW YORK CITY 15 29 8 SHIPPED TO FORT WORTH SAN DIEGO 21 21 26 16 22 23 MINNEAPOLIS 25 7 21 Given profit maximization as a criterion, Bindley would like to determine how many motors should be produced at each plant and how many motors should be shipped from each plant to each destination. b. Find the optimal solution using Microsoft Excel. (Leave no cells blank - be certain to enter "0" wherever required.) Answer is not complete. Candidate Solution Boulder Macon Gary Total supplied 15 X 29 8 20,000 21 26% 22 100,000 21 16 23 80,000 25 % 7 21 X 95,000 Total Shipped 100,000 150,000 80,000 * Answer is complete but not entirely correct. Profit Boulder Macon 0 Oo 0 > OOO 0 0 % 0 Gary Total profit A

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