A firm has two plants, A and B$,$ located at two different places. Both plants produce

products to satisfy demands at three markets, $1,2,$ and $3.$ Refer to Figure $1$ for the

supply chain network. The demands at the three markets $1,2,$ and $3$ are $210,190,$ and

The retail prices of each unit of product at markets $1,2,$ and $3$ are $$8,$$$9,$ and $$10.$

The production capacity at plants A and $B$ are $300$ and $320.$ The cost of producing and

shipping one unit of product from the plant to the market are given in Table $2.$ The firm

aims to find out the best production and transportation plan to maximize the net profit.

Figure $1$

Table $2$

Q$1.$ Set up a conceptual model to represent the problem.

Q$2.$ Use the given excel spreadsheet to solve the optimal production and transportation

decision.