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(Shipping Apples) An Apple computer dealer has stores in Ithaca and Binghamton. Ithaca needs 25 I-Macs and Binghamton needs 30. The dealer can have them sent from one of two outlets. Outlet A has 45 I-Macs in stock and charges $60 delivery to Ithaca and $30 delivery to Binghamton. Outlet B has 40 available and charges $90 delivery to Ithaca and $50 delivery to Binghamton. How many should the dealer have sent from each outlet to each store in order to minimize costs? (On the surface this seems to require 4 decision variables and could not be graphed. But since the dealer wants exactly 25 in Ithaca and 30 in Binghamton you can reduce this to two variables.)

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Operation Management, Management Studies

Category:- Operation Management
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