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MS 3053

Problem 4

A firm sells desktop computers to universities and colleges and ships them from three
distribution warehouses. Four schools have ordered computers that must be delivered
and installed by the beginning of the academic year.
School
A
B
C
D

Demand
464
267
318
389

The firm is able to supply the following numbers of computers by the beginning of the
academic year.
Warehouse
S
T
U

Supply
450
620
410

The shipping and installation cost per computer from each distributor to each school are
as follows. Describe the minimum cost solution to the problem.
To
From
S
T
U

A
19
11
23

B
17
34
19

C
34
25
22

D
17
25
15

Generate a solution to this problem using VAM. Then set it up in Excel and find the
optimum solution using Solver. Compare the results.

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