Question: This is a MIN COST Transportation Problem. Hint: Add purchasing cost/ton to shipping cost/ton. Draw the corresponding Transportation network, formulate as an LP, SOLVE WITH
This is a MIN COST "Transportation" Problem. Hint: Add purchasing cost/ton to shipping cost/ton. Draw the corresponding "Transportation" network, formulate as an LP, SOLVE WITH EXCEL!!! Provide model and answer report.
Please show all steps and solve using excel! Please and thanks!!
3.14. You are the manager of a firm that provides fill gravel to construction sites. You pur- chase the material from three different suppliers (A, B, and C) for $160/ton, $140/ton and $170/ton, respectively, and have a contract to meet weekly demand for gravel at four different sites. The available supply, demand, and per-unit shipping costs for your operation are presented in the table below: For example, Supplier B can provide you a maximum of 1,206 tons of gravel per week at $140/ton and for every ton of that material you ship to Site 3, you incur a cost of $27.00. You are contracted to supply a total of 720 tons each week to Site 3. Supplier Site 1 Site 2 Site 3 Site 4 Supply A $32 $19 $42 $38 730 B $42 $38 $27 $36 1206 $24 $18 $26 $29 672 Demand 460 575 720 670 Formulate a linear program that will identify the optimal shipment strategy for your operation to keep your overall costs as low as possible