Q$1-$ Network Optimization Problem: Canada$1$ Steel Production's Expansion Strategy $(14$ pointstotal$)$Canada$1$ Steel Production, a leading manufacturer of steel products in Canada, operates twoproduction plants$--$one in Toronto and the other in Vancouver. Each plant has an annualproduction capacity of $300,000$ metric tons. These two plants serve the entire market, which isdivided into four regional demand centers:Eastern Canada, with a demand of $100,000$ metric tons,Western Canada, with a demand of $150,000$ metric tons,$$ Northern Canada, with a demand of $50,000$ metric tons.USA, with a demand of $150,000$ metric tons,Two additional locations, Montreal and Calgary, are being considered for potential plantexpansions. The variable production and transportation costs $($in thousands of Canadiandollars per metric ton$)$ from each potential site to each market are provided in Table Xproduction and NorthTransportation$($$$100$ per tonneof steel$)$MontrealCalgaryTorontoVancouver$20151817$Capacity Expansion Options:East$14181520$Decision Questions:West$19172015$USA$1520$Canada$1$ Steel anticipates a compounded annual demand growth of $20\%$ for the next five yearsand must strategically plan its production network investments. After five years, demand isexpected to stabilize$\mathrm{.}1917$Adding $150,000$ metric tons of capacity requires a one$-$time investment of $$2$ billionCAD.Adding $300,000$ metric tons of capacity requires a one$-$time investment of $$3\mathrm{.}4$ billionCAD.The company must meet all demand, assuming that steel prices remain profitable. Capacitydecisions must be made at the beginning of each year. Additionally, assume that the coststructure for year $5$ will persist for the following $10$ years $($i$.$e$.,$ years $6-15).$A discount factor applies to future costs, meaning that a dollar spent next year is worth lessthan a dollar today. Assume an initial discount factor of $0\mathrm{.}2,$ meaning that $$1$ spent next year isworth $0\mathrm{.}8$ today$\mathrm{.}1.$ How should Canada$1$ Steel's production network evolve over the next five years? Submityour answer in an Excel file. $(-5$ points$)2.$ How does your answer change if the anticipated annual growth is $15?(2$ points$)3.$ How does your decision change if the discount factor is $0\mathrm{.}25?(2$ points$)4.$ Due to the trade war, the U$.$S$.$ has imposed a $25\%$ tariff on Canadian steel. As a result offierce competition, the demand for Canadian steel has decreased by $50\%.$ How can weredesign the network model to answer Question $1,$ part $1?(2$ points$)5.$ What strategies can be implemented to make the supply chain more resilient? What isyour managerial recommendation if the new supply chain network $($answer of the firstquestion$)$ has already developed? $(2$ points$)6.$ Review the attached business report. How do you evaluate the supply chain outlook ofmetal industry in Canada? $(1$ point$)$