Reference no: EM132691546
Supreme Auto Parts produces components for motorcycle engines. It has plants in Amarillo, Texas, and Charlotte, North Carolina, and supply factories in Detroit and Atlanta. Production and cost data for a major component are as follows.
Freight Costs
Plant Detroit Atlanta Capacity Unit Cost
Amarillo $13 $5 $1,200 $115
Charlotte $6 $1 $3,000 $150
Demand 1,700 1,100
Formulate a transportation model to determine the best distribution plan. If the constant is equal to one, enter "1".
Let:
X11 = number of components produced in Amarillo and supplied to Detroit
X12 = number of components produced in Amarillo and supplied to Atlanta
X21 = number of components produced in Charlotte and supplied to Detroit
X22 = number of components produced in Charlotte and supplied to Atlanta