Use the case below to answer the following question(s).
Rolling Inc.produces cars at two plants: Baltimore,Maryland,and Orlando,Florida.They ship them to major distribution centers in Minnesota,Dallas,Los Angeles,and Memphis.The Accounting,Production,and Marketing departments have provided the information in the table below,which shows the unit cost of shipping between any plant and distribution center to minimize the total transportation cost,not exceed available capacity,and meet customer demand. Suppose demand forecasts exceed the existing capacity and the company is considering adding a new plant from among two choices: Ohio or Kansas.Both plants would have a capacity of 3,000 units but only one can be built.The table below shows the revised data. Use double-subscripted variables to simplify the formulation.Define X ij = amount shipped from plant i to distribution center j,where i = 1 represents Baltimore,and j = 1 represents Minnesota.
Define a binary variable for the decision of which plant to build: Y 1 = 1 if the Ohio plant is built,and Y 2 = 1 if the Kansas plant is built.
-Using Solver,determine the optimal cost involved in shipping cars from Baltimore to Minnesota.
A)$8,010
B)$10,080
C)$1,080
D)$80,100

Question

Use the case below to answer the following question(s).
Rolling Inc.produces cars at two plants: Baltimore,Maryland,and Orlando,Florida.They ship them to major distribution centers in Minnesota,Dallas,Los Angeles,and Memphis.The Accounting,Production,and Marketing departments have provided the information in the table below,which shows the unit cost of shipping between any plant and distribution center to minimize the total transportation cost,not exceed available capacity,and meet customer demand.  Suppose demand forecasts exceed the existing capacity and the company is considering adding a new plant from among two choices: Ohio or Kansas.Both plants would have a capacity of 3,000 units but only one can be built.The table below shows the revised data.  Use double-subscripted variables to simplify the formulation.Define X ij = amount shipped from plant i to distribution center j,where i = 1 represents Baltimore,and j = 1 represents Minnesota.
Define a binary variable for the decision of which plant to build: Y 1 = 1 if the Ohio plant is built,and Y 2 = 1 if the Kansas plant is built.
-Using Solver,determine the optimal cost involved in shipping cars from Baltimore to Minnesota.
A)$8,010 
B)$10,080 
C)$1,080 
D)$80,100

Quizplus · Accepted Answer

Using Solver with the given data and variables, the optimal cost involved in shipping cars from Baltimore to Minnesota is $10,080. However, determining the best choice for building a new plant cannot be solved using the given information and variables. Additional analysis and calculations would be necessary to compare the costs and benefits of building the Ohio and Kansas plants.

Use the Case Below to Answer the Following Question(s)