Question: A bank has 4 sites at which checks are processed. The daily capacity for these sites are: A - 6 0 0 0 checks; B

A bank has 4 sites at which checks are processed. The daily capacity for these sites are: A -6000 checks; B -8000 checks; C -7000 checks; D -9000 checks. The bank processes 4 types of checks: vendor, salary, personal and household. The processing cost per check (in cents) depends on the site and is given on the table below. Each day, 7000 vendor checks, 6000 salary checks, 8000 personal checks, and 7000 household checks need to be processed. The objective is to minimize the total daily cost of processing checks.

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To minimize the total daily cost of processing checks we need to determine the optimal allocation of each type of check to the processing sites Given the daily capacity and cost per check for each sit... View full answer

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