dcsn205_assignment_6 - DCSN 205 Assignment 6 South Peak...

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(c) 2010Araman, Yorke-Smith DCSN 205 Assignment 6: South Peak South Peak produces snowboards in two factories (nodes 1 and 3) with weekly outputs of 20 and 37 units, respectively. The snowboards are to be transported at minimum cost to two regional warehouses (nodes 7 and 8), which have weekly requirements of 40 and 10 units, respectively. South Peak is using several small companies to transport their products. The transhipment network with supplies, demands, and unit transportation costs is shown in the figure. Prepare a report for South Peak to address the following management issues. 1. Define variables and write an LP formulation of this problem. [30 marks] 2. Solve the model to optimality. Include as supporting evidence the implementation of your LP model (e.g., Excel spreadsheet) and the sensitivity report in your report. [20 marks] 3. How many units are shipped in the optimal solution on each connection and what is the total weekly transhipment cost? [10 marks] 4. CBA Shipment Solutions, which provides transportation service from node 2 to node 5, is
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