Solutions_to_Facility_Location_Problems

# Solutions_to_Facility_Location_Problems - Equate total...

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DS 412 Solutions to Facility Location Problems Prof Uday 1. Let V = Volume Equate Total Costs for every pair of locations. X & Y: 500,000 + 27V = 540,000 + 25V → V = 20,000 Y & Z: 540,000 + 25V = 450,000 + 31V → V = 15,000 Z & X: 450,000 + 31V = 500,000 + 27V → V = 12,500 Total Cost Location Range of Volumes X 12,500 – 20,000 Y ≥ 20,000 Z ≤ 12,500

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2. Let V = Volume
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Unformatted text preview: Equate total profit for the two locations. 52V 350,000 32V = 48V 300,000 30V V = 25,000 Find the breakeven volume for each location. Location X: 52V 350,000 32V = 0 V = 17,500 Location Y: 48V 300,000 30V = 0 V = 16,667 Location Range of volumes X &gt;= 25,000 Y 16,667 25,000...
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## This note was uploaded on 11/04/2011 for the course DS 412 taught by Professor Eng during the Fall '07 term at S.F. State.

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Solutions_to_Facility_Location_Problems - Equate total...

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