Question: A ) Would it help to have 1 0 0 more units of capacity at plant 1 ? ( 2 points ) Why? ( 4
A Would it help to have more units of capacity at plant points Why? points
There are at least two ways to approach this problem. The most obvious is to increase the capacity of plant by and then run Solver to see if the total cost is decreased at all. If it helps to increase the capacity, you need to explain what changes in your shipping plan occurred once the extra capacity is in place. For example, a costly route that was used before the change may no longer be optimal and could be replaced by a lower cost route.
Another way to see if there are any benefits of increasing the capacity of plant is by looking at the shadow price in the sensitivity analysis.
B What is the most Grand Prix would be willing to pay for this extra capacity? points
The answer to this question is equal to the reduction in the total cost after the new capacity is in place.
C Answer the same questions assuming that the capacity of Plant is increased by points
D Answer the same questions assuming that the capacity of Plant is increased by points
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