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Unformatted text preview: MODULE C: TRANSPORTATION MODELS TRUE/FALSE 1. The transportation model is an excellent tool for minimizing shipping costs among existing facilities, but it is not useful when firms consider new facility locations. False (Introduction, easy) 2. The transportation model seeks satisfactory, but not necessarily optimal, solutions for shipping goods from several origins to several destinations. False (Transportation modeling, moderate) 3. The transportation model is a special class of linear programming models. True (Transportation modeling, easy) 4. A transportation problem requires exactly as many origins as destinations. False (Transportation modeling, moderate) 5. Neither the northwest corner rule nor the intuitive method considers shipping cost in making initial allocations. False (Developing an initial solution, moderate) 6. The intuitive method of generating an initial solution has different results for each problem solver because "intuition" varies from person to person. False (Developing an initial solution, moderate) 7. The steppingstone method frequently achieves an optimal solution as soon as it calculates an initial feasible solution. False (Developing an initial solution, easy) 8. A feasible solution in transportation models is one in which all of the supply and demand constraints are satisfied. True (Developing an initial solution, moderate) 9. The added cost of shipping one unit through an unused cell in a transportation problem without changing the edge requirements is the shipping cost associated with that cell. False (The steppingstone method, moderate) 10. In a transportation minimization problem, the negative improvement index associated with a cell indicates that reallocating units to that cell would lower costs. True (The steppingstone method, moderate) 11. Degeneracy in a transportation problem is when no closed path exists for evaluating an unused cell. True (Special issues in modeling, moderate) 12. When using the stepping stone method, the closed path sometimes has the shape of a triangle as diagonal moves are permitted. False (The steppingstone method, moderate) 524 13. When using the stepping stone method for a minimization problem, the number of units that reallocates corresponds to the smallest number found in the cells containing minus signs. True (The steppingstone method, moderate) 14. A transportation problem with a total supply of 500 and a total demand of 400 will have an optimal solution that leaves 100 units of supply unused. True (Special issues in modeling, moderate) 15. A transportation problem with 8 sources and 6 destinations will have an optimal solution that uses at most 13 of the 48 possible routes. True (Special issues in modeling, moderate) {AACSB: Analytic Skills} 16. To handle degeneracy, a very small quantity is placed in one of the unused squares....
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This note was uploaded on 10/16/2011 for the course MARKETING 1234s taught by Professor Mohammed during the Spring '11 term at Abu Dhabi University.
 Spring '11
 MOHAMMED

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