Three suppliers A, B and C, each produce road grit which has to be delivered to council
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Question:
Three suppliers A, B and C, each produce road grit which has to be delivered to council depots W, X, Y and Z. The stock held at each supplier and the demand from each depot is known. The cost, in pounds, of transporting one lorry load of grit from each supplier to each depot is also known. This information is given in the table.
Suppliers | Depot W | Depot X | Depot Y | Depot Z | Stock (Lorry Loads) |
Supplier A | 180 | 110 | 130 | 290 | 14 |
Supplier B | 190 | 250 | 150 | 280 | 16 |
Supplier C | 240 | 270 | 190 | 120 | 20 |
Demand (Lorry Loads) | 11 | 15 | 14 | 10 | 50 |
- From the Table write down the following;
- The number of lorry loads of grit that each supplier can supply
- The number of lorry loads of grit required at each depot
- Which is the cheapest route to use?
- Which is the most expensive route to use?
- Use the VAT or VAM Method to supply out all the stocks
- Compute the total cost incurred
- Test out for degeneracy of solutions above
Related Book For
An introduction to management science quantitative approaches to decision making
ISBN: 978-1111532222
13th edition
Authors: David Anderson, Dennis Sweeney, Thomas Williams, Jeffrey Cam
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