Elucidate what is the optimal total cost

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Reference no: EM13127972

Carlton construction is supplying building materials for a new mall construction project in Kansas. Their contract calls for a total of 250,000 tons of material to be delivered over a three-week period. Carlton's supply depot has access to three modes of transportation: a trucking fleet, railway delivery, and air cargo transport. Their contract calls for 120,000 tons delivered by the end of week one, 80% of the total delivered by the end of week two, and the entire amount delivered by the end of week three. Contracts in place with the transportation companies call for at least 45% of the total delivered be delivered by trucking, at least 40% of the total delivered be delivered by railway, and up to 15% of the total delivered be delivered by air cargo. Unfortunately, competing demands limit the availability of each mode of transportation each of the three weeks to the following levels (all in thousands of tons):

Week Trucking Limits. Railway Limits Air Cargo Limits
1 45 60 15
2. 50. 55 10
3. 55. 45. 5
Costs ($ per 1000 $200 $140. $400 tons)

a) Formulate an LP model for this problem and use Risk Solver to find the optimal solution. What is the optimal total cost?

Reference no: EM13127972

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