The design problem facing the supply-chain manager at Van Horne is to determine which DC locations to use, based on operating expense and total distribution cost

Answer the following

Formulate the decision problem as a linear programming problem algebraically. Define your decision variables, objective function and constraints

Develop a neatly designed spreadsheet model clearly showing the decision variables, objective function and the constraints. Further, solve the above problem using solver. Attach the spreadsheet containing the model and the Answer Report.

Please attach the excel sheet too

Problem 1: The Van Horne Appliance Company is a manufacturer of home appliances with nationwide distribution. Van Horne is designing its supply chain from scratch, having purchased some smaller companies in the last year. Its main candidates for distribution centres (DCS) are New York, Atlanta, Chicago, and Los Angeles. Each of these locations can accommodate annual volumes of up to 150,000 units, but they would require different levels of operating expense, as estimated in the table below: One or more of these DCs will service Van Home's four sales regions (East, South, Midwest, and West). For each combination of DC and sales region, Van Horne has estimated the average transportation cost per thousand units shipped