Question: Use the transportation method for location problems and POM for Windows to find the optimal distribution pattern and the cost of goods sold for both
Use the transportation method for location problems and POM for Windows to find the optimal distribution pattern and the cost of goods sold for both the Denver and St Louis alternatives. First solve the problem with Denver as the new plant and then do the same for St Louis. The unit costs for each cell of the transportation matrix should be the sum of the shipping costs and the variable costs of production. For example, the unit costs for producing and shipping a unit from Denver to Boston would be Use Figures and as guides in your formulation. The "optimal cost" in each case will be the cost of goods sold.
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