Question: Transportation Model (Solve using Excel Solver) BOM Manufacturing has four plants P1, P2, P2, and P4 located throughout a state with production capacities of 1100,

Transportation Model (Solve using Excel Solver)

Transportation Model (Solve using Excel Solver) BOM Manufacturing has four plants P1, P2, P2, and P4 located throughout a state with production capacities of 1100, 950, 850, and 980 units, respectively. Lately, because of the higher demand, the company needs to supply its four retail shops B1, B2, B3, and B4 with 1200,950, 1050, and 1750 units, respectively. The current transportation costs per unit are illustrated below. B1 B2 B3 B4 Capacity P1 3 5 7 6 1100 P2 5 8 3 950 P3 4 6 10 4 850 P4 6 7 4 5 980 1200 950 1050 1750 Between the three identified possible locations, L1, L2, and L3, given the estimated transportation costs per unit as shown below, which location will you choose to build the new plant and why? B2 B3 L1 L 2 L3 B1 4 7 3 B4 5 5 6 8 4 5 10

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