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Question:A small manufacturing facility is being planned that will feed parts to three heavy manufacturing facilities. The locations of the current plants with their coordinates and volume requirements are given in the following table:

Plant Location

Coordinates (x,y)

Volume (parts per year)

Peoria

300,320

4,000

Decatur

375,470

6,000

Joliet

470,180

3,000

Use the centroid method to determine a location for this new facility.

Short Answer

Expert verified

Answer

The new warehouse would be located at (373.84,356.92).

Step by step solution

01

Formula to calculate the coordinates

Cx=∑XiYi∑Vi,Cy=∑YiVi∑Vi,

02

Prepare the chart to get the coordinates

The chart is shown below:

03

Put the calculated values in the above formula

Cxi=486000013000=373.84

X coordinate is 373.84.

Cyi=464000013000=356.92

Y coordinate is 356.92.

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Question:Bindley Corporation has a one-year contract to supply motors for all washing machines produced by Rinso Ltd. Rinso manufactures the washers at four locations around the country: New York, Fort Worth, San Diego, and Minneapolis. Plans call for the following numbers of washing machines to be produced at each location:

New York

50000

Fort Worth

70000

San Diego

60000

Minneapolis

80000

Bindley has three plants that can produce the motors. The plants and production capacities are

Boulder

100000

Macon

100000

Gary

150000

Due to varying production and transportation costs, the profit Bindley earns on every 1,000 units depends on where they were produced and where they were shipped. Thefollowing table gives the accounting department estimates of the dollar profit per unit. (Shipment will be made in lots of 1,000.)

Shipped to

Produced at

New York

Fort Worth

San Diego

Minneapolis

Boulder

7

11

8

13

Macon

20

17

12

10

Gary

8

18

13

16

Given profit maximization as a criterion, Bindley would like to determine how many motors should be produced at each plant and how many motors should be shipped from each plant to each destination.

a. Develop a transportation grid for this problem.

b. Find the optimal solution using Microsoft Excel.

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