The Cost-Less Corp. supplies its four retail outlets from its four plants. The shipping cost per shipment from each plant to each retail outlet is given below. Retail Outlet: Unit Shipping Cost 1 2 3 4 Plant 1 $500 $600 $400 $200 2 200 900 100 300 3 300 400 200 100 4 200 100 300 200 Plants 1, 2, 3, and 4 make exactly 10, 20, 20, and 10 shipments per month, respectively. Retail outlets 1, 2, 3, and 4 need to receive 20, 10, 10, and 20 shipments per month, respectively. The distribution manager, Randy Smith, now wants to determine the best plan for how many shipments to send from each plant to the respective retail outlets each month. Randy’s objective is to minimize the total shipping cost.

The Cost-Less Corp. supplies its four retail outlets from its four plants. The shipping cost per shipment from each plant to each retail outlet is given below. Retail Outlet: Unit Shipping Cost 1 2 3 4 Plant 1 $500 $600 $400 $200 2 200 900 100 300 3 300 400 200 100 4 200 100 300 200 Plants 1, 2, 3, and 4 make exactly 10, 20, 20, and 10 shipments per month, respectively. Retail outlets 1, 2, 3, and 4 need to receive 20, 10, 10, and 20 shipments per month, respectively. The distribution manager, Randy Smith, now wants to determine the best plan for how many shipments to send from each plant to the respective retail outlets each month. Randy’s objective is to minimize the total shipping cost.

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter5: Network Models

Section: Chapter Questions

Problem 68P

See similar textbooks

Retail Outlet:	Unit Shipping Cost
Plant
1	$500	$600	$400	$200
2	200	900	100	300
3	300	400	200	100
4	200	100	300	200

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