OPIM 101 - Spring 2012 - R8 solutions

OPIM 101 - Spring 2012 - R8 solutions - OPIM 101 - Spring...

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1 OPIM 101 - Spring 2012 Recitation 8 Exercise Section # (201,202,…,214): _____________ Instructor (circle): Balas Fishman Horowitz Saunders Shah Zhang PennCard Last Name: PennCard First Name: Place your answers in the boxes provided. Problem 1. Veggie Soup company produces canned soup (hereafter referred to as “product”) for distribution to several restaurant suppliers. Currently Veggie Soup operates three plants in the U.S. and distributes to 4 restaurant suppliers (i.e., customers of Veggie Soup). A big component of Veggie Soup’s costs are the costs of shipping from its plants to its customers. The unit shipping costs are summarized in the next table. A “unit” of product is 1,000 cases of soup. Table. Unit Shipping Costs from Plants to Customers (in $ per unit shipped) In the coming year, Veggie Soup has contracted to supply the four customers with 9,000, 10,000, 12,000, and 8,000 units of product, respectively. Each plant can produce in essentially unlimited quantities at these costs. Veggie Soup would like to devise an optimal distribution plan making sure that all demand must be
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This note was uploaded on 04/04/2012 for the course OPIM 101 taught by Professor Lee during the Spring '08 term at UPenn.

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OPIM 101 - Spring 2012 - R8 solutions - OPIM 101 - Spring...

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