Question

Ryan Electronics has production facilities in Denver and Atlanta, warehouses in Kansas City and Louisville, and...

Ryan Electronics has production facilities in Denver and Atlanta, warehouses in Kansas City and Louisville, and retail outlets in Detroit, Miami, and Dallas. Each production facility can deliver to each warehouse and each warehouse can deliver to each retail outlet. The shipping costs per unit appear in the table below:

From

To

Cost ($/unit)

Denver

Kansas City

4

Denver

Louisville

3

Atlanta

Kansas City

2

Atlanta

Louisville

1

Kansas City

Detroit

2

Kansas City

Miami

3

Kansas City

Dallas

4

Louisville

Detroit

5

Louisville

Miami

4

Louisville

Dallas

6

Production is 600 units at the Denver plant and 250 units at the Atlanta plant. Demand is 250 units at the Detroit outlet, 200 units at the Miami outlet, and 400 units at the Dallas outlet.

  1. Formulate a linear program (variables, objective, and constraints) to minimize cost while moving supply from the production plants through the warehouses to the retail outlets.
  2. Is this problem a Transportation, Assignment, or Transshipment Model? Explain you answer in a few short sentences.

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