round the operates tou cturing centers in Philadelphia, PA; Atlanta, GA; St. Louis, MO; and Salt Lake City, UT. The plants have different capacities and production costs as indicated in the table below. PLANT Philadelphia Atlanta St. Louis Salt Lake City MAXIMUM CAPACITY PRODUCT COST (PER (x 100,000 POUNDS) 1,000 POUNDS) $336.00 $286.00 $316.00 $261.00 SP currently has six contract customers located in New York City, Birmingham, AL; Terre Haute, IN; Dallas, TX; Spokane, WA; and San Diego, CA. Transportation costs between the plants and various customers, as well as contracted demand from each customer, are shown in the table below. 7.2 9.4 12.0 10.3 FROM/TO Philadelphia Atlanta St. Louis Salt Lake City Total Demand (x 1,000 pounds) From/To Philadelphia Atlanta St. Louis Salt Lake City NYC NYC $42 52 54 69 540 TRANSPORT COSTS PER 1,000 POUNDS BIRMINGHAM TERRE HAUTE DALLA $49 $59 39 56 57 51 68 54 430 615 $53 55 47 64 940 Combined Costs Per 1,000 pounds Birmingham Terre Haute Create a solver model and find the optimal solution to help SP develop a distribution plan that will minimize costs to supply the customers' demand. Note: Enter your answers in terms of cost per 1,000 lbs and shipment quantities per 1,000 lbs. Round your answers to the nearest whole number. Leave the cells blank, whenever zero (0) is required. Dallas SPOKANE SAN DIEGO $81 83 68 61 301 Spokane $99 96 84 San Diego 74 401

Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter2: Introduction To Spreadsheet Modeling
Section: Chapter Questions
Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...
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around the United States. SP currently operates four manufacturing centers in Philadelphia, PA; Atlanta, GA; St. Louis, MO, and Salt
Lake City, UT. The plants have different capacities and production costs as indicated in the table below.
PLANT
Philadelphia
Atlanta
St. Louis
Salt Lake City
MAXIMUM CAPACITY PRODUCT COST (PER
(x 100,000 POUNDS) 1,000 POUNDS)
SP currently has six contract customers located in New York City, Birmingham, AL; Terre Haute, IN; Dallas, TX; Spokane, WA; and San
Diego, CA. Transportation costs between the plants and various customers, as well as contracted demand from each customer, are
shown in the table below.
FROM/TO
Philadelphia
Atlanta
St. Louis
Salt Lake City
Total Demand (x 1,000 pounds)
7.2
9.4
12.0
10.3
From/To
Philadelphia
Atlanta
St. Louis
Salt Lake City
NYC
$42
NYC
$336.00
$286.00
$316.00
$261.00
52
54
69
540
TRANSPORT COSTS PER 1,000 POUNDS
BIRMINGHAM TERRE HAUTE DALLA
$49
39
57
68
430
Create a solver model and find the optimal solution to help SP develop a distribution plan that will minimize costs to supply the
customers' demand.
$53
55
47
64
940
Note: Enter your answers in terms of cost per 1,000 lbs and shipment quantities per 1,000 lbs. Round your answers to the nearest
whole number. Leave the cells blank, whenever zero (0) is required.
Combined Costs Per 1,000 pounds
Birmingham Torro Haute
$59
56
51
54
615
Dallas
SPOKANE
$81
83
68
61
301
Spokane
SAN DIEGO
$99
96
84
74
401
San Diego
Transcribed Image Text:ces around the United States. SP currently operates four manufacturing centers in Philadelphia, PA; Atlanta, GA; St. Louis, MO, and Salt Lake City, UT. The plants have different capacities and production costs as indicated in the table below. PLANT Philadelphia Atlanta St. Louis Salt Lake City MAXIMUM CAPACITY PRODUCT COST (PER (x 100,000 POUNDS) 1,000 POUNDS) SP currently has six contract customers located in New York City, Birmingham, AL; Terre Haute, IN; Dallas, TX; Spokane, WA; and San Diego, CA. Transportation costs between the plants and various customers, as well as contracted demand from each customer, are shown in the table below. FROM/TO Philadelphia Atlanta St. Louis Salt Lake City Total Demand (x 1,000 pounds) 7.2 9.4 12.0 10.3 From/To Philadelphia Atlanta St. Louis Salt Lake City NYC $42 NYC $336.00 $286.00 $316.00 $261.00 52 54 69 540 TRANSPORT COSTS PER 1,000 POUNDS BIRMINGHAM TERRE HAUTE DALLA $49 39 57 68 430 Create a solver model and find the optimal solution to help SP develop a distribution plan that will minimize costs to supply the customers' demand. $53 55 47 64 940 Note: Enter your answers in terms of cost per 1,000 lbs and shipment quantities per 1,000 lbs. Round your answers to the nearest whole number. Leave the cells blank, whenever zero (0) is required. Combined Costs Per 1,000 pounds Birmingham Torro Haute $59 56 51 54 615 Dallas SPOKANE $81 83 68 61 301 Spokane SAN DIEGO $99 96 84 74 401 San Diego
From/To
Philadelphia
Atlanta
St. Louis
Salt Lake City
Received
From/To
Philadelphia
Atlanta
St. Louis
Salt Lake City
Total Costs
$
NYC
NYC
Solution (x 1,000 pounds)
Birmingham Terre Haute
$
0 $
0 $
Total Costs
Birmingham Terre Haute
Dallas
Dallas
0 $
Spokane
0
Spokane
San Diego
$
0
San Diego
$
0
Transcribed Image Text:From/To Philadelphia Atlanta St. Louis Salt Lake City Received From/To Philadelphia Atlanta St. Louis Salt Lake City Total Costs $ NYC NYC Solution (x 1,000 pounds) Birmingham Terre Haute $ 0 $ 0 $ Total Costs Birmingham Terre Haute Dallas Dallas 0 $ Spokane 0 Spokane San Diego $ 0 San Diego $ 0
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