Question: This is a typical logistics model, with the corresponding network shown in the attached spreadsheet. Each net supplier's net outflow cannot exceed the capacity shown
This is a typical logistics model, with the corresponding network shown in the attached spreadsheet. Each net supplier's net outflow cannot exceed the capacity shown in its node, each net demander's net inflow must be at least the demand shown in its node, and each transshipment point must have a net outflow (and net inflow) of 0. The unit shipping costs are shown on the arcs, and the common arc capacity in the network is 500. Which of the following is true of the optimal solution? Click here to reference the data needed to answer the question. a. The optimal total cost is $69,800, but if there were no arc capacity constraints, the optimal total cost would be $15,200 less. b. The problem has feasible solutions with this common arc capacity of 500, but there are no feasible solutions if the common arc capacity is only 300. c. Exactly two of the supplier capacity constraints are binding, and all of the demand constraints are binding. d. All of these choices are true.
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