Question: 5 Question 2(a): Transportation - IBFS by VAM 6 Marks XYZ Chemical Company has three Plants located in a state. The daily chemical production at

5 Question 2(a): Transportation - IBFS by VAM 6 Marks XYZ

5 Question 2(a): Transportation - IBFS by VAM 6 Marks XYZ Chemical Company has three Plants located in a state. The daily chemical production at each Plant is as follows: Plant-t: 12 million litres, Plant-l: 2 million litres, Plant-ll: 20 million litres Each day, the Company must fulfil the needs of its four Distribution Centres. Minimum Requirements at each Centre are D1 D2 D3 D4 14 million litres 10 million litres 6 million litres 4 million litres Cost (in hundreds) of shipping 1 Million Litres from each Plant to each Distribution Centre is given in the following table: ** Un cam Distribution Centre D1 D4 Plant P1 2 7 Plant P2 1 1 Plant P3 5 Required: 1. Find Initial Basic Feasible Solution for given Transportation Problem by using Vogel's Approximation Method if the object is to minimize the Total Cost. 2. Is this a Degenerate Solution? D2 3 0 8 D3 11 6 15

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