Question: Given the following information set up the problem in a transportation table and solve for the minimum-cost plan: PERIOD 1 2 3 Demand 550 700
Given the following information set up the problem in a transportation table and solve for the minimum-cost plan:
PERIOD 1 2 3 Demand 550 700 750
Capacity Regular 500 500 440
Overtime 50 50 50
Subcontract 120 120 100
Beginning inventory 100
Costs Regular time $ 60 per unit
Overtime $ 80 per unit
Subcontract $ 90 per unit
Inventory carrying cost $ 1 per unit
per period Back-order cost $ 3 per unit per period
Suppose that an inventory carrying cost is increased to $2 per unit per period. What will the additional cost of the optimal plan be? (Omit the "$" sign in your response.)
Additional cost $
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