Practical Management Science
Practical Management Science
6th Edition
ISBN: 9781337406659
Author: WINSTON, Wayne L.
Publisher: Cengage,
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Costs per Barrel to Ship Oil Tax per Barrel Distributors Distributors D1 D2 D1 D2 S1 $32 $20 $2 $6 S2 $25 $20 S2 $5 $4 An oil company supplies two distributors in the northwest from two outlets, S, and S,. Distributor D, needs at least 3000 barrels of oil, and distributor D, needs at least 5000 barrels. The two outlets can each furnish up to 5000 barrels of oil. The costs per barrel to ship the oil are given in the accompanying table. There is also a shipping tax per barrel as given in the accompanying table. The oil company is determined to spend no more than $32,000 on shipping tax. Complete parts (a) and (b) below. (a) How should the oil be supplied to minimize shipping costs? Outlet S, should send barrels to distributor D,. (Simplify your answer.) Outlet S, should send barrels to distributor Dɔ. (Simplify your answer.) Outlet S, should send barrels to distributor D,. (Simplify your answer.) Outlet S, should send barrels to distributor D2. (Simplify your answer.) The minimized total shipping cost is $ (Simplify your answer.) (b) Find and interpret the values of any nonzero slack or surplus variables. Select the correct answer below and fill in the answer box to complete your choice. (Simplify your answer.) There is a slack variable that indicates that S, could furnish more barrels of oil.
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Transcribed Image Text:Costs per Barrel to Ship Oil Tax per Barrel Distributors Distributors D1 D2 D1 D2 S1 $32 $20 $2 $6 S2 $25 $20 S2 $5 $4 An oil company supplies two distributors in the northwest from two outlets, S, and S,. Distributor D, needs at least 3000 barrels of oil, and distributor D, needs at least 5000 barrels. The two outlets can each furnish up to 5000 barrels of oil. The costs per barrel to ship the oil are given in the accompanying table. There is also a shipping tax per barrel as given in the accompanying table. The oil company is determined to spend no more than $32,000 on shipping tax. Complete parts (a) and (b) below. (a) How should the oil be supplied to minimize shipping costs? Outlet S, should send barrels to distributor D,. (Simplify your answer.) Outlet S, should send barrels to distributor Dɔ. (Simplify your answer.) Outlet S, should send barrels to distributor D,. (Simplify your answer.) Outlet S, should send barrels to distributor D2. (Simplify your answer.) The minimized total shipping cost is $ (Simplify your answer.) (b) Find and interpret the values of any nonzero slack or surplus variables. Select the correct answer below and fill in the answer box to complete your choice. (Simplify your answer.) There is a slack variable that indicates that S, could furnish more barrels of oil.
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