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The distribution network consists of two plants, three warehouses and four customers. Plant capacities and shipping...

The distribution network consists of two plants, three warehouses and four customers. Plant capacities and shipping costs (per unit) from each plant to each warehouse are as follows:

Warehouse

Plant

1

2

3

Plant Capacity

1

4

7

6

5000

2

8

5

6

6000

Customer demand and shipping costs per unit from each warehouse to each customer are:

Customers

Warehouse

1

2

3

4

1

6

4

8

4

2

3

6

7

7

3

5

6

8

12

Demand

2000

3000

1000

4000
  1. Determine the optimal shipping cost solution for this network
  2. Although the basic network has the 2 plants with the 3 warehouse and 4 customers, what would be the solution if you cannot ship from Warehouse 1 to Customers 3 and 4, and from Plant 1 to Warehouse 1?
  3. What would be the solution if Plant 1 Capacity reduces by 20%?
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