A private warehouse has an annual throughput of 10,000 items and an average materials handling cost per item of $0.01/ft. The warehouse size is to be 100,000 sq. ft. Annual construction and maintenance costs are $210/ft. of perimeter.
1. The loading and unloading dock is to be located at location X, a warehouse corner, as shown in the figure. What is the best length and width of the warehouse? What's the total relevant cost for this design?
2. If the loading/unloading dock is to be located at location Y, as shown in the figure, what is the best length and width of the warehouse and what is the total relevant cost?