There are production facilities in Battle Creek, Cherry Creek, and Dee Creek wit
ID: 405292 • Letter: T
Question
There are production facilities in Battle Creek, Cherry Creek, and Dee Creek with annual capacities of 500 units, 400 units, and 600 units, respectively. The annual demands at warehouses in Worchester, Dorchester, and Rochester are 300 units, 700 units, and 400 units, respectively. The table below gives the unit transportation costs between the production facilities and the warehouses. Worchester
Dorchester
Rochester
Battle Creek
$20/unit
$30/unit
$13/unit
Cherry Creek
$10/unit
$5/unit
$17/unit
Dee Creek
$15/unit
$12/unit
$45/unit
There are production facilities in Battle Creek, Cherry Creek, and Dee Creek with annual capacities of 500 units, 400 units, and 600 units, respectively. The annual demands at warehouses in Worchester, Dorchester, and Rochester are 300 units, 700 units, and 400 units, respectively. The table below gives the unit transportation costs between the production facilities and the warehouses. Worchester
Dorchester
Rochester
Battle Creek
$20/unit
$30/unit
$13/unit
Cherry Creek
$10/unit
$5/unit
$17/unit
Dee Creek
$15/unit
$12/unit
$45/unit
Explanation / Answer
Optimal transportation of goods in a supply chain is essential because it is important that:
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