Formulate the problem as a transportation model. Find the initial basic feasible solution to the above transportation problem by using North West Corner Rule, Least Cost Rule and Vogel’s Approximation Method. Determine theoptimal solution by using North West Corner Rule.

Practical Management Science
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Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter2: Introduction To Spreadsheet Modeling
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  1. Hamdy A. Taha - Operations Research_ An Introduction-Pearson Education Limited (2017) –Page 236-Question 5-6

City

 

 

 

Plant

 

 

1

 

2

 

3

1

$600

$700

$400

2

$320

$300

$350

3

$500

$480

$450

 

Three electric power plants with capacities of 25, 40, and 30 million kWh supply electricityto three cities. The maximum demands at the three cities are estimated at 30, 35, and25 million kWh. The price per million kWh at the three cities is given in Table 5.25. During themonth of August, there is a 20% increase in demand at each of the three cities, which can be metby purchasing electricity from another network at a premium rateof $1000 per million kWh. The network is not linked to city 3, however. The utility companywishes to determine the most economical plan for the distribution and purchase ofadditional energy

  • Formulate the problem as a transportation model.
  • Find the initial basic feasible solution to the above transportation problem by using North West Corner Rule, Least Cost Rule and Vogel’s Approximation Method.
  • Determine theoptimal solution by using North West Corner Rule.

 

 

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