On determining optimal transportation plan from two supply locations to three destinations to minimize the transportation costs
Question:
On determining optimal transportation plan from two supply locations to three destinations to minimize the transportation costs given data on the available supplies and demand
Answer the following questions, NOT the ones given in the textbook by using Excel for analysis:
a. What would be the optimal minimum cost transportation plan (i.e. units from each source to each destination) to meet the demand at each destination from the available supply at each source, and what would be the total cost?
b. If the supplies available at the two sources are different – 20 units at Jefferson City and 30 units at Omaha – what would be the optimal minimum cost transportation plan (i.e. units from each source to each destination) to meet the demand at each destination, and what would be the total cost?
c. What are the managerial implications of the results you obtained for (a) and (b) above?
