1. Given the sources & destinations, and the supplies & demands & the distances in the figure above, formulate this problem as a Transportation Model and solve for the number of units that should be sent from each of the sources to each of the destinations in order to minimize the total shipping mileage. (Attach highlighted QMS printouts.)
     
    SOLUTION:
    _____________units from Fernwood to ____________ Total Cost ___________
     
    _____________units from ___________to ____________ Total Cost ___________
     
    _____________units from ___________to ____________ Total Cost ___________
     
    _____________units from ___________ to ____________ Total Cost ___________
     
    _____________units from ___________ to ____________ Total Cost ___________
     
    _____________units from ___________ to ____________ Total Cost ___________
     
    _____________units from ___________ to ____________ Total Cost ___________
     
    GRAND TOTAL COST = ___________
    2.  Assign the following tasks to the machines with the unit profits as shown in order to MAXIMIZE THE TOTAL PROFIT. Max Profit = $ __________ (Circle the cells selected.)
     
    TASK R    TASK W    TASK P   TASK Y
    MACHINE #5   23       28       19       27
    MACHINE #8   44       38       36       40
    MACHINE #2   33       27       29       41
    MACHINE #7   25       30       32       32
     
     
     
     
     
     
     
     
     
     
     
     
     
     




     
     
     
     
     
     

     
     
    4. Joe’s Golf Shop sells 5 dozen golf balls per day, and operates 360 days per year. He calculates that his average storage cost is $2/dozen/year. His ordering cost (mostly postage) is $50/order, and his wholesale cost per dozen is $8. Lead time on orders from the distributor is 3 days. (ATTACH ANNOTATED PRINTOUTS.)
    How many dozen balls should he order at a time? Q* = ________dozen
    How many times will he order in a year? N* = _____times
    How low should he allow his supply to get before he orders? QR = _______dozen How many days between orders? T* = ______days
    His supplier offers a $.20 per dozen discount on orders of 1,000 dozen. How much would he save by taking this offer? $____________
     
     
    5. YOURBANK, INC. is planning to add a drive-thru facility to their existing location. They expect 50 vehicles per hour will use the system. Each server can process a customer in an average of 4.6 minutes. (SHOW ALL ANNOTATED PRINTOUTS.)
     
    What is the minimum number of lanes they should install? ______
    What will be the average time in the system (waiting plus service)? ________minutes
    How many lanes must they install to reduce the average waiting time below 1 minute?__
    What will be the average total time in the system with this many lanes? _____

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