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    Lecture 4

    Transportation Pro ebl ms

    as ca y ea s w t

    the roblem which aims to fin

    transpor

    d the to

    tat on pro em

    best wa

    ,demand pfulfill the of usingointsdemand n

    .

    variable cost of shipping the p oneroduct from

    ,

    asupp y po nt eman poto ont a s m ar

    cons

    r

    should be taken into contrai sident ration.

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    ) The Definition of the Transportation Model1

    transportatwe present the standard definiti ion model

    transportation mod

    on of the

    the direct sense the seeks the deel termination

    , .

    ,

    Now

    In

    of trana spo plan of a single from a number of

    to a number

    rta

    of

    tion

    .source destinations

    com

    s

    modity

    of su l at each and amount of at each

    data of the incmo l dedel u

    Level

    The

    demsource

    1. and

    .destinationunit cost of the from eatransport chation The commod2. sity o eurc

    to each .destination

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    there is only one can receive, aSince descomm tinationodity

    its from one or moreof the model is to determine the amount to be

    . The

    sourdem cesobjective

    and

    shipped from each to eachsource destina such that the

    total cost istransportation minimized.

    tion

    basic assumption of the model is that the

    cost on a given route

    transportation

    directly proportionalis to the number of

    The

    units transportedtransportationdefinition of unit of will vary depending

    .The

    transportedon the

    units of and must be consistent with our

    .

    The

    commodi

    supp

    ty

    l ey d mandtransportedefinition of a nid u t.

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    depicts the model as a network with

    and

    transportation

    .

    Figure 1

    n destinations

    m sources

    or is represented by

    arc joining and represents the

    .

    The

    a destination

    a destination

    A s a noource

    a source

    de

    route through

    which the is

    amount of at is the at is

    transported.

    , .The ji demandsupply source i a destination j b

    commodity

    unit cost betweentransportat ano d si in .The ijsource desti cnationi

    Figure 1

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    ) Formulating Transportation Problems2

    represent the amo transportedunt fromto then the model of

    Let ijes ination L

    xource i P the problem is gitrans venpo generalrt lyi aa st on

    Minimize = =

    i ii 1

    j jj 1

    c xz

    ., , , = i in

    jSubject to x a i 1 m

    ., , ,

    m

    i b j 1 nx =

    ., for all and

    =

    i 1

    ij x 0 ji

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    stipulatesthat the sum of the shipmentsn

    a

    canno exceerom s

    that the sum of the shipmentsreq iresu

    .=

    m

    j 1 source supp y

    total sup ypl

    to must satisfy i st .=1i

    i a destination demand

    model just described implies that the must atThe total supplyleast following the that isequal ,

    i

    LP total dema dn

    a . nm

    b

    resulting formulationthe is called a, ==

    Whenm

    ii

    n

    11ja b

    differs from the model above onl in the fact that all

    .

    con

    It

    Balanced Transportation Model

    straintsare equations; that is,

    == = mn

    = ., , , , , ,= =1j i1

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    has lants in and

    ( )

    .

    TheM Los An eles Detroit New OrleanG Auto Com an s

    Standard Transportation ModExample e1 l

    major distribution centers are located in and

    capacities of

    .Its

    The

    Denver Miami

    the three plants during the next quarter are and , ,1000 1500

    cars

    quarterly at the two distribution centers are and cars

    .

    .The demands 2300 1400

    1200

    cost per car per mile itrain transportatio snThe approximately cents

    mileage chart between the plants and distribution centers is as follows:

    .

    The

    8

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    milea e chart can be translated to cost er car at the rateThe

    Example 1 - con

    of cents per mile

    .8

    which represent in the generalijc model:

    represent the plants anddistribution centers we let,

    represent the number

    of cars from totransported

    .

    ji

    destsource i

    x

    ination jthe sum of the (Since total supply 100 50 1 0 )

    ha ens to e ual the thetotal demand 2300 140

    0 1200 3700

    0 3700

    transportation balanresulting model is ced.

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    Example 1- con

    s mo e as a eq cons ra n su :a yMinimize

    1 2 1 2 1 21 1 2 2 3 380 215 100 108 102 68

    Subject to

    x x x x x x

    11 12 1000x x

    3 31 2

    1200x x

    1 2 3

    1

    1 1 1

    2 32 2 2

    Dem

    1400

    x x x

    x x x

    and Constraints

    ., for all andijx i 0 j

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    Example 1- con

    equalitythis model has all constraints:

    Hence 11

    1

    2

    xx

    LP

    T

    12

    2

    2

    80 215 100 108 102 68Minx

    C Xx

    z z

    3

    3

    1

    2Subj ect to

    xx

    10001500 211 1 0 0 0 00 0 1 1 0 0 10001500x

    x

    2300

    =

    2

    1

    2

    3

    23001 0 1 0 1 0x

    x

    32x

    .,ij

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    .Example 1- con

    o t stan ar s:s

    The1000 1000

    LPua

    1 2 3 4 5

    T

    1500 1500

    1200 1200y y y y yMax w wY

    2300 2300

    1400 1400

    1 2 4 53 2300 1401000y 1500y 120 y 00y yw

    1

    2

    1 0 0 0 1 215y

    yT A Y

    3

    4

    0 1 0 0 1 108 y

    y

    C

    0 50 1 0 1 68y

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    transportation model

    transportation

    more compact method for representing the is to

    use what we call the .

    A

    tableau

    is a matrix form with its rows representing the and its columnstheIt ourc

    dees

    stina .tions

    model can thus be summarized as shown in

    , .

    .The

    ij

    TablG e 1M

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    ( )Balanced TransportatioExample 2 n Model

    suppose that the plant capacity is cars

    ,Ino a emano a s pup y

    1300Example 1

    ( )

    situation

    instead of .

    The

    1500

    is said to be unbalanced because the totalsupply( ) is strictly than the total ( )less .demand 33500 700

    manner that will distribu

    te the shortage quantity ( -3700 3500

    exceeds a fictitious or dummy

    .

    ,Since

    deman supply sourd ce

    can e a e w t ts capac ty equa top ant cars

    is allowed under normal conditions to ship

    .

    , ,Thedummy plant

    its production to all distribution ce snter .

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    ( )total demtotal su ly andppExample 2 - con

    s mo e ecomes as:Minimize

    1 2 11 1 2 2 3 32 2180 215 100 108 102 68

    Subject to

    x x x x x x

    11 12xx 1000

    3 31 2

    1200x x

    1 2 3

    1

    1 1 1

    2 22

    x x x

    x x x

    23

    emand Constraints

    1400., for all andji x i j0

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    Example 2 - con

    of the

    the does not exist no physical shipping will occur and the

    .

    ,Since

    Detroitplan

    pla

    tnt

    corres un tpon ng s zero

    ( ) has a capacity

    transportat on c

    of car

    os

    s

    t .

    shown by a tint overlay .Thedummy pla t 2n 00

    Table 2

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    the exceeds the we can add a destination

    .

    ,If su demand dumml

    Example 2 - con

    that will absorb the differenceexample, that the at drops to cars

    .

    .For demand 1suppose 900Denver

    cars shippAny

    surplus

    ed from a plant to a added distribution center

    represent a quantity at that plant

    .

    dummy

    un ranspor a on cosassoc a e s zero .e

    Table 3

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    Exercise 1

    to p balanced transportationroduce a ? [ ]model

    destina

    Ans.tion No.

    the to and are and respectively

    [ ]

    , .

    orders at and will be and cars short.

    Denver Miami

    Ans. T

    150 50

    150he Denver Mia

    dummy pla

    5

    nt

    mi 0

    each of the following ca( ) Inc ses indicate whether a or

    should be added to the modelbalance

    ,

    . destination

    sourcedummy

    ( ) , , , and , , , . 1 2 3 41 2 3 4 b 10 ba 10 a 5 a 51 4 a 6 b 7 9b

    ( ) , and , , .

    1 2 1 2 3b 25 b 30 b 102 a 30 a 4 4

    . .

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    ) Basic feasible solution fortransportation model3

    other problems awith supply points and demand points is easier to solve

    balanced transportation model ,,

    Unlike LPm n

    although it h equalitasm n y constraints

    basic methods balancedto find the for a

    .

    Three s TP

    )

    1 Northwest Corner Method

    ) Least - ost Met o

    3 Vogel s Method

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    manufactures office TheExecutive Furniture Corporation

    Example 3

    desks at three locations: , ,Des Moines Evansville Fort Lauderdale

    firm distributes the desks through regiona The l

    located in:

    warehouses

    of the monthly production of each factory

    , ,

    Estimates supply

    costs are the same at the three factories so the only Production

    ar constante no matter the quantity shipped

    . Costs

    the number of desks on each route tominimize total transportation

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    .Example 3 - con

    Cleveland00 units

    Locations of factories and warehousesExecutive Furniture

    (100 units)

    supply

    demand

    Albuquerque

    (200 units)demandEvansville(300 units)

    un sdemand

    Ft. Lauderdale(300 units)

    supply

    Figure 1

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    .Example 3 - con

    From To lbuquerque Boston Cleveland

    es o nes

    Evansville $8 $4 $3

    Ft. Lauderdale $9 $7 $5

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    .Example 3 - con

    Minimize

    1 1 1 2 2 2 3 3 31 2 3 1 2 3 1 2 3

    Subject to

    x x x x x x x x x

    11 1

    x x

    2 31 100x

    2 3

    1 2 3

    2 2

    3 3 3

    300x x x

    1 2 31 1 1

    Demand Constraints

    300x x x

    2 21 22 3 200

    x x x

    200x x x

    ., for all andji jix 0

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    andTotal demandExample 3 - con. Total supply

    ToFrom

    Albuquerque Boston Cleveland FactorySupply

    Des Moines

    Factory

    x11 $5 x12 $4 x13 $3

    100Evansville

    Factor

    x21 $8 x22 $4 x23 $3300

    Ft LauderdaleFactor

    x31 $9 x32 $7 x33 $5 300

    Warehouse

    Demand300 200 200 700

    Balanced

    TransportationTable 5

    Model

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    ) the byFind bfs Northwest Corner Method1

    in and allocate units to shippingroutes as follows:

    northwest cornerBegin

    the of each row before moving down toExhaust supply

    the

    .

    Exhaust of each column before moving todemand

    the next column.

    it take initials to make the

    .

    ,ForExam ive stele 3 sshipping assignme tsn .

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    in setting as as possible.large: Begin 11xStep 1

    ass gn un s rom o . exhaust the from but leaves

    eThis

    11 uquerquelbuquerque

    es o nessupply Dx

    es Moines

    es s s or .

    move

    We to the in thesecon samed ro co .mnw lu

    From To Albuquerque Boston Cleveland Supply

    Des Moinesx11 x12 x13

    100100

    Evansvillex21 $8 x22 $4 x23 $3

    300

    Ft Lauderdalex31 $9 x32 $7 x33 $5 300

    Demand 300 200 200 700

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    to the in the .second row same column: MovingSt ep 2

    ass gn un s rom omeets

    . .This

    12 uqvansv e uerqueAlbuquerque s dem d

    xan

    ha units remaining so we move tosEvansville 100

    next column

    the right to

    the o secondf the row.

    From To Albuquerque Boston Cleveland Supply

    Des Moinesx11 x12 x13

    100100

    Evansvillex21 $8 x22 $4 x23 $3

    300200

    Ft Lauderdalex31 $9 x32 $7 x33 $5 300

    Demand 300 200 200 700

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    to the in the .samsecond col e rumn ow: MovingStep 3

    has now been exhaustedbut s

    .

    iThe22

    Evansv Bille supp ostol ny

    move

    .

    We next rodown vertically to the in columthe nw .Boston

    From To Albuquerque Boston Cleveland Supply

    Des Moines11 12 13

    100100

    Evansville 21 22 23 300200 100

    Ft Lauderdale x31 32 x33 300

    eman

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    vertically to the in the .columthird row n: Down BostonStep 4

    ass gn un s rom o fulfills and still has

    .

    eThis

    22 or au er a eFort Lauderda

    x os onBo leston s demand

    units available.

    uquerque os on eve an upp y

    x11 $5 x12 $4 x13 $3

    100x21 $8 x22 $4 x23 $3

    200 100

    x31 $9 x32 $7 x33 $5 au er a e100

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    :Step 5

    .

    and .

    sexhaust s s This32

    Fort Lauder Cleveland demanddale su ly

    pp

    .The initial shipment schedule is now complete

    uquerque os on eve an upp y

    X11 $5 x12 $4 x13 $3

    100

    x21 $8 x22 $4 x23 $3

    200 100

    x31 $9 x32 $7 x33 $5 au er a e100 200

    ill h th f ll i hi h i) Fi ll bf1 con

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    we will have the following which is:) , ,Finally bfs1 - con.

    and .

    , , , ,

    1 1 2 32 3 3 1 0

    x x x x

    o s s pp ng aso a s gnmeno ssc

    1 21 1 22

    5 8 4 7x x x x z

    .2 33 35 $4200x

    RouteUnitsShipped

    Per unitCost ($) =

    TotalCost ($)From To

    D A 100 5 500,

    E B100 4 400

    F B 100 7 700

    4,200

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    ( )) the byFind Lowest Costbfs Least - cost Met hod2

    the cell with the lowest cost .IdentifyStep 1.

    exceeding or

    .

    dsupply ema ; then cross out the or

    that is exhausted b this assi nmentcolum

    r

    n

    ow

    or both .

    nd

    the cell with thelowest co froms the remainingt

    FindStep 3.

    a

    .

    RepeatStep 4. step 2 nd until all units have been allocated.3

    ) L t C t M th d2

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    ) Least - Cost Method2 - con.

    s e ce so s p un s roowes cos cross mto and the first asrowoff,rs ClDes Moines eveland

    s sat s e .

    Des Mo sine

    From To Albuquerque Boston Cleveland SupplyX $5 x $4 x $3

    es o nes100

    x 1 $8 x $4 x 3 $3vansv e

    x31 $9 x32 $7 x33 $5 au er a e

    emand

    ) h d2

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    ) Least - Cost Method2 - con.

    is again the cell so ship ucolumn

    lowest cos nitsfrom to and

    tcross o ff

    ,SecondEvan Cleveland 3sv

    $3 100ille

    as is satisfi d eCleveland

    From To Albuquerque Boston Cleveland SupplyX11 $5 x12 $4 x13 $3

    100x21 $8 x22 $4 x23 $3

    100

    x31

    $9 x32

    $7 x33

    $5

    Demand 300 200 200 700

    ) Least Cost Method2 con

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    ) Least - Cost Method2 - con.

    s e ce so s p un s romto andowes coscross off rcolumn ow, andrEvansville Boston 2

    as an are sat s eEvansvi e Boston

    rom o uquerque oston eve an upp y

    es Moinesx11 $5 x12 $4 x13 $3 100

    Evansvillex21 $8 x22 $4 x23 $3 300

    Ft Lauderdalex31 $9 x32 $7 x33 $5

    300

    Demand 300 200 200 700

    ) L t C t M t dh2

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    ) Least - Cost Met doh2 - con.

    s p un ts rom toas this is the only remaining cell to complete the allocations,na y u ort auq eruerqu ae e

    $3 100 $4 200 $3 100 $9 3 00 $4100

    rom o uquerque oston eve an upp y

    es Moinesx11 $5 x12 $4 x13 $3 100

    Evansvillex21 $8 x22 $4 x23 $3 300

    Ft Lauderdalex31 $9 x32 $7 x33 $5

    300

    ) th b Find St 13 V l M th dbf

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    =

    ) the by .Find Step 13 Vogel s Methodb fs

    smallest costs the

    between the and in the or .next smallest cost columnrow

    penalty 3 = 8-5 0 =4-4 0 =3-3 cost

    To Albu ue Total RowFrom rque Supply penalty$5 $4 $3

    $8 $4 $3

    $9 $7 $5 =

    Total Demand 300 200 200 700

    greatestthe or with thecolumnrowIdentify

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    greatest

    opportunity

    the or with the

    ( ).cost

    columnrow)

    .

    in this example

    IdentifyStep 2

    column 13 - con.

    as as possible to the lowest - costmany units.

    AssignStep 3

    .

    Column

    penalty 3 = 8-5 0 =4-4 0 =3-3

    Opportunity

    costTo

    FromAlbuquer

    queBoston Cleveland Total

    SupplyRow

    penalty

    Des Moines $5 $4 $3 100 1 =4-3100

    Evansville$8 $4 $3

    300 1 =4-3

    tLauderdale

    $9 $7 $5300 2 = 7-5

    Total Demand 300 200 200 700

    ) S 43

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    or which has beencolumrow n) EliminateStep 43 - con. .

    penalty 3 = 8-5 0 =4-4 0 =3-3 cost

    To Albu ue Total RowFrom rque Supply penalty$5

    $4

    $3=

    $8 $4 $3

    t $9 $7 $5 = -Lauderdale

    Total Demand 300 200 200 700

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    t itti) R tSt 5 St 1 St 43 con

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    to omitting, r wo s) . RepeatStep 5 Step 1 Step 43 - con. .

    Column= - = - = -

    Opportunity

    To

    From

    Albuquer ue Boston Cleveland

    Total

    Su l

    Row

    enalt

    Des Moines 100$5

    $4

    $3100

    Evansville $8 $4 $3 300 1 =4-3200

    Ft

    Lauderdale

    $9 $7 $5300 2 = 7-5

    Total Demand 300 200 200 700

    , of Second Run Step 2 Step 3

    t) R t ittiSt 5 St 1 St 43

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    to o sr w) . ,Repeat omittingStep 5 Step 1 Step 43 - con .

    or e m na e n e co umns prev ous s ep. wo

    Columnenalt 1 =9-8 = 7-4 2 =5-3

    Opportunitycost

    To

    From

    Albuque

    rqueBoston Cleveland Total

    Supply

    Row

    penalty

    Des Moines 100$5

    $4

    $3100

    Evansville $8 200 $4 $3 300 1 =4-3

    FtLauderdale

    $9

    $7 $5300 2 = 7-5

    Total Demand 300 200 200 700

    of Second Run Step 4

    t) R t ittiSt 5 St 1 St 43 con

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    to or rows) . ,Repeat omittingStep 5 Step 1 Step 43 - con. . ,

    Columnenalt 1 =9-8 2 =5-3

    Opportunitycost

    To

    From

    Albuque

    rqueBoston Cleveland Total

    Supply

    Row

    penalty

    Des Moines 100$5

    $4

    $3100

    Evansville $8 200 $4 $3 300 5 = 8-3

    FtLauderdale

    $9

    $7 $5300 4 =9-5

    Total Demand 300 200 200 700

    o r un tep

    to orrows) Repeat omittingStep 5 Step 1 Step 43 - con

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    to orrows) . ,Repeat omittingStep 5 Step 1 Step 43 - con. . ,

    Column1 =9-8

    =5-Opportunity

    To

    From

    Albuque

    rqueBoston Cleveland Total

    Supply

    Row

    penalty

    Des Moines 100$5

    $4

    $3100

    Evansville $8 200 $4 $3 300 5 = 8-3100

    FtLauderdale

    $9

    $7 $5300 4 =9-5

    Total Demand 300 200 200 700

    , of Third Run Step 2 Step3

    to orrows) Repeat omittingStep 5 Step 1 Step 43 - con

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    to orrows) . ,Repeat omittingStep 5 Step 1 Step 43 con. . ,

    Columnenalt 1 =9-8 2 =5-3

    Opportunitycost

    To

    From

    Albuque

    rque

    Boston Cleveland Total

    Supply

    Row

    penalty

    Des Moines 100$5

    $4

    $3100

    Evansville $8 200 $4 $3 300 5 = 8-3100

    FtLauderdale

    $9

    $7 $5300 4 =9-5

    Total Demand 300 200 200 700

    Step 4of Th ird Run

    to orwro s) Repeat omittingStep 5 Step 1 Step 43 - con.

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    to or wro s) . ,Repeat omittingStep 5 Step 1 Step 43 con. . ,, ,

    Columnpenalty

    Opportunitycost

    ToFrom

    Albuque

    rque

    Boston Cleveland Total

    Supply

    Row

    penalty

    Des Moines 1005

    4

    3100

    Evansville $8

    200$4

    10$3

    300

    Ft $9

    $7 $5300 4 =9-5

    Total Demand 300 200 200 700

    ) Vogel s Meth3 - con . od

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    onl is not eliminated we finall assi nmentsrow to,Since 3

    bala and as following:nce row supplcolumn demand yColumn O ortunitpenalty cost

    To Albuque Total Rowrom rque Supply penalty$5

    $4

    $3100

    $8 $4 10 $3

    Ft00

    $9

    $7 10 $500 au er a e

    Total Demand 300 200 200 700

    )3 con

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    )3 - con.

    we will have the following which is:, ,Finally bfs

    and

    , ,1 3 3 2 11 2 3 2 3

    .2 31 1 2 31 2 0x x x x

    tota cost sThe

    i

    .

    This

    s the of the threbest solutio e solun tions.

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