Question: Consider the following transportation problem. Formulate this problem as a linear programming model and solve it using the MS Excel Solver tool. Shipment Costs ($),

Consider the following transportation problem. Formulate this problem as a linear programming model and solve it using the MS Excel Solver tool.

Shipment Costs ($), Supply, and Demand:

Destinations

Sources

1

2

3

Supply

A

6

9

100

130

B

12

3

5

70

C

4

8

11

100

Demand

80

110

60

  1. (4 points) Volume Shipped from Source A __________

  1. (4 points) Volume Shipped from Source B __________

  1. (4 points) Volume Shipped from Source C __________

  1. (3 points) Minimum cost __________

At a chip manufacturing plant, four technicians, (A, B, C, D) produce three products (Products 1, 2, and 3). This month, the chip manufacturer can sell 80 units of Product 1, 50 units of Product 2 and, at most, 50 units of Product 3. Technician A can make only Product 1 and 3. Techncian B can make only Products 1 and 2. Technician C can make only Product 3. Techncian D can make only Product 2. For each unit produced, the products contribute the following profit: Product 1, $6, Product 2, $7, Product 3, $10. The time (in hours) each technician needs to manufacture a product is as follows:

Product

Technician A

Technician B

Technician C

Technician D

1

2

2.5

Cannot Do

Cannot Do

2

Cannot Do

3

Cannot Do

3.5

3

3

Cannot Do

4

Cannot Do

Each techician can work up to 120 hours per month. How can the chip manufacturer maximize its monthly profit? Assume a fractional number of units can be produced.

  1. (4 points) Number of Product 1 made = ____________
  1. (4 points) Number of Product 2 made = ____________
  1. (4 points) Number of Product 3 made = ____________
  1. (3 points) Total Profit = ____________

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