Question: You can write down your formulations in a word file, in the Excel file, or on paper and scan it. But please make sure to

You can write down your formulations in a word file, in the Excel file, or on paper and scan it. But please make sure to submit all your work, including the formulations and the Excel file. 1. (11 pts) Maurice's Pump Manufacturing Company currently maintains plants in Atlanta and Tulsa that supply major distribution centers in Los Angeles and New York. Because of an expanding demand, Maurice has decided to open a third plant and has narrowed the choice to one of two cities-New Orleans or Houston. The pertinent production and distribution costs, as well as the plant capacities and distribution center demands, are shown in the following table. DISTRIBUTION CENTERS PRODUCTION LOS NEW COST PLANTS ANGELES YORK CAPACITY [PER UNIT) Atlanta (existing) Tulsa $5 (existing) New $4 Orleans (anticipated) [proposed) Houston 54 500 $3 proposed) (anticipated) Forecast 800 1,200 demand Which of the new possible plants should be opened? Please formulate the problem (identify the decision variables, the objective, and the constraints) and then solve the problems with Excel. Hint: Solve for two network flow problems, one for New Orleans and the other for Houston and then compare the costs
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
