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AkuAku AkuAku
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5 years ago
Due to increased sales, a company is considering building three new distribution centers (DCs) to serve four regional sales areas. The annual cost to operate DC 1 is $500 (in thousands of dollars). The cost to operate DC 2 is $600 (in thousands of dollars.). The cost to operate DC 3 is $525 (in thousands of dollars). Assume that the variable cost of operating at each location is the same, and therefore not a consideration in making the location decision.

The table below shows the cost ($ per item) for shipping from each DC to each region.

Region
DCABCD
11332
22413
33223
The demand for region A is 70,000 units; for region B, 100,000 units; for region C, 50,000 units; and for region D, 80,000 units. Assume that the minimum capacity for the distribution center will be 500,000 units.

Assume that Xij = quantity shipped from distribution i to region j. i = 1,2,3 and j = 1, 2, 3, 4.
Assume that Yi = 0 or 1 where i = distribution center 1, 2 or 3.


The objective function is

• Min Z = +

• Min Z = +

• Min Z =+

• Min Z =+
Textbook 
Introduction to Management Science

Introduction to Management Science


Edition: 13th
Author:
Read 49 times
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arusha_mominarusha_momin
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#1
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5 years ago
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AkuAku Author
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5 years ago
This helped my grade so much Perfect
kobbhy
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Yesterday
Good timing, thanks!
jcarter
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2 hours ago
Thank you, thank you, thank you!
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