Question

In: Accounting

FlexSteal, marketed as a miracle brush-on sealant and baldness cure, is manufactured at three plants that...

FlexSteal, marketed as a miracle brush-on sealant and baldness cure, is manufactured at three plants that are struggling to keep up with the demand at the four regional centers. The cost to ship a truckload from each of the existing plants to the regional centers is shown in the table. Note that the capacity and the total demand are both measured in truckloads.

Philadelphia Atlanta Dallas Los Angeles Capacity
Plant 1 89 75 93 115 400
Plant 2 120 88 103 93 500
Plant 3 95 82 112 98 500
Total Demand 350 350 350 350


The supply chain manager has explored plant construction costs in two other cities as well as the cost to ship a truckload from each of the plants to the regional centers. The current plan is to build another plant with a capacity of 400 to allow room for sales growth. The construction cost for the new plants and cost to ship to each of the regional centers is shown here.

Philadelphia Atlanta Dallas Los Angeles Cost to Build
Plant A 94 78 95 95 $23,500
Plant B 95 88 88 94 $26,000


What is the result of formulating the linear programming model of the original network configuration (before considering plants A and B) as follows?
Minimize
subject to  ≤ Dj
≤ Ki

Group of answer choices

The shipping quantity from Plant 3 to Atlanta will be 50.

The shipping quantity from Plant 3 to Atlanta will be 0.

The shipping quantity from Plant 3 to Atlanta will be 350.

The shipping quantity from Plant 3 to Atlanta will be 300.

Solutions

Expert Solution

Solution:-

Answer :- The shipping quantity from Plant 3 to Atlanta will be 50.


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