Problem 1 Use Excel Solver on the transportation problem depicted on the next slide where the objective is to have cost of shipping minimized. Then answer the additional questions. Please write a complete sentence as your answer for each part and make explanations incorporate the actual numerical values in this problem.

1) What amounts are shipped on each route? 2) Give an explanation of the range of optimality of variable x21. 3) If any variable has a reduced cost identify the variable and explain what the reduced cost means. 4) Give an explanation of the range of feasibility of s2 and what the shadow price there means. 5) Give an explanation of the range of feasibility of d2 and what the shadow price there means. Please include your Excel file with a least an answer report and sensitivity report when you conduct your discussion.

Supply Demand s1 80 $2 d1 100 $2 $1 s2 120 $0.50 d2 100