Module11 ILP Handouts Applications

Module11 ILP Handouts Applications - 8/21/2010...

Info iconThis preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
8/21/2010 1 Integer Programming Applications New Plants Construction Manufacturing with Set Up Cost Plant Modernization Capital Budgeting Network Application New Plant Construction A company has a manufacturing plant located in St. Louis with an annual capacity of 30K units. There are distribution centers in Boston, Atlanta and Houston with respective demands of 30K, 20K, and 20K. New plants are proposed to be built in some or all of the following cities: Proposed New Plants Annual Fixed Costs Annual Capacity Plant Detroit $175K 10K Toledo $300K 20K Distribution Centers Plant Boston Atlanta Houston D e t r o i t 523 T o l e d o 434 D e n v e r 975 Kansas City 10 4 2 S t . L o u i s 843 Denver $375K 30K Kansas City $500K 40K Network Application New Plant Construction cont’d Distribution Centers Shipping Costs Plant Boston Atlanta Houston Detroit Toledo Denver Kansas City 10 4 2 St. Louis Demand 30K 20K 20K Formulate as regular transportation cost minimization problem. Use {0 1} y variables so you only incur construction and shipping cost if that particular plant is built. y
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 2
This is the end of the preview. Sign up to access the rest of the document.

Page1 / 4

Module11 ILP Handouts Applications - 8/21/2010...

This preview shows document pages 1 - 2. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online