Question
|
Unit Shipping Cost ($)
|
|
From/To
|
D
|
E
|
|
A
|
$11
|
$9
|
|
B
|
$15
|
$5
|
|
C
|
$8
|
$14
|
|
Factories
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Stores
|
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A (300 Desks)
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D (350 Desks)
|
|
B (250 Desks)
|
E (450 Desks)
|
|
C (250 Desks)
|
LULU manufacturing company produces office desks in factories A, B and C. Then it ships the produced office desks to the stores in D and E. The amount of supply and demand and the unit shipping cost is given below.
Determine the number of desks to be shipped from factories to the stores in order to minimize the total shipping cost
a) Define the decision variables,
b) Formulte the LP model of the given problem (objective function and the constraints), and
c) Solve it by the MS Excel Solver