NameNameMANISH YADAVEnroll No.13BSP0392SectionE

QuestionQ. Bindley Corporation has a one-year contract to supply motors for all washing machine produced by Rinso Ltd.Rinso Manufacturers the washers at four locations around the country: New York, Fort Worth, San Diego, and minneapolis. Plans call for the following numbers of washing machines to be produced at each location:

New York50,000Fort Worth70,000San Diego60,000Minneapolis80,000Bindley has Three Plants that can produce the motors. The Plants and production capacties areBoulder1,00,000Macon1,00,000Gary1,50,000Due to varying production and transportation costs, the profit Bindley earns on each 1,000 units depends on where they were produced and where theywere shipped. The following table gives the accounting department estimates of the dollar profit per unit. ( Shipment will be made in lots of 1,000.)SHIPPED TOPRODUCED ATNEW YORKFORT WORTHSAN DIEGOMINNEAPOLISBoulder711813Macon20171210Gary818136Given Profit maximization as a criterion, Bindley would like to determine how many motors should be produced at each plant and how many motors should be shipped from each plant destination.a. Develop a transortation grid for this problem.b. Find the optimal solution using Microsoft Excel.

SolutionPRODUCED ATNEW YORKFORT WORTHSAN DIEGOMINNEAPOLISBoulder711813100000Macon20171210100000Gary81813615000050000700006000080000Candidate SolutionNEW YORKFORT WORTHSAN DIEGOMINNEAPOLISTotal SupplyTotal CapacityBoulder0008000080000100000Macon5000000050000100000Gary07000060000013000015000050000700006000080000Total Demand50000700006000080000Profit CalculationBoulder0001040000Macon1000000000Gary012600007800000Total Profit4080000