Calculation of the best production schedule using transportation model.
Taiwan Electronics produces three models of CB radios, A, B, and C. The estimated demand for the three models is 10,000, 12,000, and 7,000 units, respectively. The radios can be produced on one of four available production lines: Q, R, S, and T, whose production capacities are: 6,000, 15,000, 20,000 units, respectively. The manufacturing costs vary among the production lines and are shown in the table below (in $ per unit)
|
model
|
Q
|
R
|
S
|
T
|
|
A
|
60
|
53
|
61
|
50
|
|
B
|
80
|
75
|
81
|
70
|
|
C
|
75
|
70
|
75
|
65
|
The industry's objective is to meet all estimated demand at the least possible manufacturing price. Use the transportation model to find the best production schedule.