Question: Please solve the following transportation model problem. There are four warehouse locations supply goods to four destination markets. The cost parameters are provided in table

Please solve the following transportation model problem. There are four warehouse locations supply goods to four destination markets. The cost parameters are provided in table 1. The demand and supply expectations are provided in table 2 and 3.

Table 1 - Shipping Costs per Unit (in dollars)
Destination Markets
Warehouse Columbus St. Louis Denver

Los Angeles

Indianapolis 25 35 36 60
Phoenix 55 50 25 25
New York 40 50 80 90
Atlanta 30 40 66 75

Table 2 - Demand Requirements
Qty.
Columbus 10
St. Louis 12
Denver 15
Los Angeles 9
Total 46

Table 3 - Supply Capacity
Qty.
Indianapolis 15
Phoenix 6
New York 14
Atlanta 11
Total 46

Note: Dont mix demand with supply when adding constraints in Excel

Questions:

1.) What is the cost minimizing transportation quantities for each route? Please answer this question in table 4 below.

2.) The Los Angeles city government requested that the location be supplied by Atlanta warehouse at least 5 units during each planning period. The firm wants to honor the request as long as the request does not increase the total transportation cost by 10%. Should the request be honored? (Hint: you need to update the Solver solution after specifying the new constraint.)

3.) Table 4. Allocation of Shipping Quantity in Each Route Original Solution Only

Destination Markets

Warehouse

Columbus

St. Louis

Denver

Los Angeles

Indianapolis

Phoenix

New York

Atlanta

Answer Items:

Your Answer

Original Total Cost from Q1

Updated Total Cost if the Request is Honored

Percentage Change in the Total Cost Over Q1

Decision to Accept or No

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