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The network G5 is shown in Figure. Note that each arc (i, j) ∈ A has a cost cij associated with it. You may assume that all arcs have a lower bound of zero and no upper bound. Also note that each arc i ∈ N has a demand value bi associated with it.

1891_Network.png

Using the two-phase network simplex algorithm find the minimum cost flow in the network G5. Use node 3 as the central node for phase 1.

When initializing phase 1, clearly show the artificial arcs, and the phase 1 costs for all arcs. For each iteration you must show the dual variables, reduced costs, and the updated flow. You should also clearly label the entering and leaving arc at each iteration. At termination, show the optimal flow.

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