Problem 11-15 Given the following information set up the problem in a transporta
ID: 452193 • Letter: P
Question
Problem 11-15
Given the following information set up the problem in a transportation table and solve for the minimum-cost plan:
PERIOD
Suppose that an increase in warehousing costs and other costs brings inventory carrying costs to $2 per unit per month. All other costs and quantities remain the same. Determine a revised solution to this transportation problem. (Omit the "$" sign in your response.)
Given the following information set up the problem in a transportation table and solve for the minimum-cost plan:
Explanation / Answer
Periods
Capacity
1
2
3
Unused capacity (dummy)
Available
capacity
Beginning
inventory
0
100
2
4
0
100
1
RT
61
450
63
50
65
0
500
1
OT
89
50 91
93
90
0
50
1
Subcontracting
99
101
103
120
0
120
2
RT
61
500
63
0
500
2
OT
89
50
91
0
50
2
Subcontracting
99
50
101
70
0
120
3
RT
61
500
0
500
3
OT
89
50
0
50
3
Subcontracting
10 99
90 0
100
Demand
550
700
750
90
2090
Total cost of this transportation Solution is = 100x0+450x61+50x63+50x91+500x61+50x89+50x99+120x103+70x101+500x61+50x89+10x99+90x0
= $130,420
Periods
Capacity
1
2
3
Unused capacity (dummy)
Available
capacity
Beginning
inventory
0
100
2
4
0
100
1
RT
61
450
63
50
65
0
500
1
OT
89
50 91
93
90
0
50
1
Subcontracting
99
101
103
120
0
120
2
RT
61
500
63
0
500
2
OT
89
50
91
0
50
2
Subcontracting
99
50
101
70
0
120
3
RT
61
500
0
500
3
OT
89
50
0
50
3
Subcontracting
10 99
90 0
100
Demand
550
700
750
90
2090