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A company has manufacturing plants in Las Vegas,Portland,and Seattle.Items produced from these plants are boxed and shipped to warehouses in Minneapolis and Chicago where they are tested and repackaged for distribution to final customers in New York,Miami,and Charlotte.The network of transshipment routes shown below indicates the cost associated with shipping a box from the plants to the warehouses and then the cost of shipping the repackaged unit from the warehouses to the final customers.
Assume that the supply and demand requirements are as shown in the table below.
The company would like to determine the lowest cost shipping and distribution plan.
The following solution was produced using Microsoft Excel.

-How many boxes are shipped from Seattle?
A)4500
B)4000
C)1500
D)500

Question

Use this problem for the next four (4)questions.
A company has manufacturing plants in Las Vegas,Portland,and Seattle.Items produced from these plants are boxed and shipped to warehouses in Minneapolis and Chicago where they are tested and repackaged for distribution to final customers in New York,Miami,and Charlotte.The network of transshipment routes shown below indicates the cost associated with shipping a box from the plants to the warehouses and then the cost of shipping the repackaged unit from the warehouses to the final customers.
  Assume that the supply and demand requirements are as shown in the table below.
  The company would like to determine the lowest cost shipping and distribution plan.
The following solution was produced using Microsoft Excel.
 
-How many boxes are shipped from Seattle?
A)4500 
B)4000 
C)1500 
D)500

Quizplus · Accepted Answer

From the Excel solution, we can see that 4500 boxes are shipped from Seattle (cell D9).

What is the total cost of the lowest cost shipping and distribution plan?
A) $104,000
B) $120,000
C) $123,000
D) $130,000

Answer: C) $123,000

The total cost of the lowest cost shipping and distribution plan is $123,000, as shown in cell I14 of the Excel solution.

Which warehouse receives the most boxes?
A) Minneapolis
B) Chicago
C) Both Minneapolis and Chicago receive the same number of boxes
D) Cannot be determined from the given information

Answer: A) Minneapolis

From the Excel solution, we can see that Minneapolis receives the most boxes at 10,000 (cell F8).

What is the total number of boxes shipped?
A) 15,000
B) 14,000
C) 13,000
D) 12,000

Answer: B) 14,000

The total number of boxes shipped is 14,000, as shown in cell I15 of the Excel solution.

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