A company consists of three plants (which can supply 500 units each), three warehouses (the maximum capacity
Question:
A company consists of three plants (which can supply 500 units each), three warehouses (the maximum capacity of the warehouse is to hold 600 units) and four customers D1, D2, D3 and D4 with demands 300, 250, 150 and 200 respectively. . The following table shows the shipping costs per unit (in dollars) from each plant to each warehouse, the shipping costs per unit (in dollars) from each warehouse to each customer, and the fixed cost to operate plants and warehouses.
Table 1 Plant to Warehouse
Plant location | Deposit | ||
A | B | C | |
X | $4 | $9 | $8 |
Y | $8 | $5 | $10 |
z | $6 | $3 | $12 |
Table 2. Warehouse to Customer
Deposit | Client | |||
re 1 | re 2 | re 3 | D 4 | |
A | $6 | $4 | $9 | $8 |
B | $7 | $11 | $5 | $11 |
C | $4 | $5 | $3 | $4 |
Demand (units) | 300 | 250 | 150 | 200 |
Table 3 Fixed costs of plants and warehouses
Fixed costs (FC) | |||
Planta | FC | Deposit | FC |
X | $5,000 | A | $4,000 |
Y | $6,000 | B | $3,000 |
z | $4,000 | C | $3,000 |
Formulate this problem as a linear programming problem, completely defining its decision variables and then giving the objective function and constraints.
- Solve using Excel and provide a solution containing decision variables and objective function
Management Science The Art Of Modeling With Spreadsheets
ISBN: 9780470530672
3rd Edition
Authors: Stephen G. Powell, Kenneth R. Baker