Module C Transportation Models | Test Bank – 10e Global

View Product website:

https://selldocx.com/docx/module-c-transportation-models-test-bank-10e-global-1353

Operations Management, 10e, Global Edition (Heizer/Render)

Module C Transportation Models

1) The transportation model is an excellent tool for minimizing shipping costs among existing facilities, but it is not useful when firms consider new facility locations.

Diff: 1

Topic: Transportation modeling

Objective: no LO

2) The transportation model seeks satisfactory, but not necessarily optimal, solutions for shipping goods from several origins to several destinations.

Diff: 2

Topic: Transportation modeling

Objective: no LO

3) The transportation model is a special class of linear programming models.

Diff: 1

Topic: Transportation modeling

Objective: no LO

4) A transportation problem requires exactly as many origins as destinations.

Diff: 2

Topic: Transportation modeling

Objective: no LO

5) Neither the northwest corner rule nor the intuitive method considers shipping cost in making initial allocations.

Diff: 2

Topic: Developing an initial solution

Objective: LO-Module C-1

6) The intuitive method of generating an initial solution has different results for each problem solver because "intuition" varies from person to person.

Diff: 2

Topic: Developing an initial solution

Objective: LO-Module C-1

7) The stepping-stone method frequently achieves an optimal solution as soon as it calculates an initial feasible solution.

Diff: 1

Topic: Developing an initial solution

Objective: LO-Module C-1

8) A feasible solution in transportation models is one in which all of the supply and demand constraints are satisfied.

Diff: 2

Topic: Developing an initial solution

Objective: LO-Module C-1

9) The added cost of shipping one unit through an unused cell in a transportation problem without changing the edge requirements is the shipping cost associated with that cell.

Diff: 2

Topic: The stepping-stone method

Objective: LO-Module C-2

10) In a transportation minimization problem, the negative improvement index associated with a cell indicates that reallocating units to that cell would lower costs.

Diff: 2

Topic: The stepping-stone method

Objective: LO-Module C-2

11) Degeneracy in a transportation problem is when no closed path exists for evaluating an unused cell.

Diff: 2

Topic: Special issues in modeling

Objective: LO-Module C-4

12) When using the stepping stone method, the closed path sometimes has the shape of a triangle as diagonal moves are permitted.

Diff: 2

Topic: The stepping-stone method

Objective: LO-Module C-2

13) When using the stepping stone method for a minimization problem, the number of units that reallocates corresponds to the smallest number found in the cells containing minus signs.

Diff: 2

Topic: The stepping-stone method

Objective: LO-Module C-2

14) A transportation problem with a total supply of 500 and a total demand of 400 will have an optimal solution that leaves 100 units of supply unused.

Diff: 2

Topic: Special issues in modeling

Objective: LO-Module C-3

15) A transportation problem with 8 sources and 6 destinations will have an optimal solution that uses at most 13 of the 48 possible routes.

Diff: 2

Topic: Special issues in modeling

AACSB: Analytic Skills

Objective: LO-Module C-4

16) To handle degeneracy, a very small quantity is placed in one of the unused squares.

Diff: 2

Topic: Special issues in modeling

Objective: LO-Module C-4

17) Degeneracy occurs when the number of occupied squares is less than the number of rows plus the number of columns minus one.

Diff: 2

Topic: Special issues in modeling

Objective: LO-Module C-4

18) If demand exceeds supply in a transportation problem, the problem must be balanced by adding a dummy source with additional supply.

Diff: 2

Topic: Special issues in modeling

Objective: LO-Module C-3

19) Which of the following is not needed in order to use the transportation model?

A) the source points and their capacity

B) the fixed costs of source points

C) the destination points and their demand

D) the cost of shipping one unit from each source to each destination

E) All of these are needed.

Diff: 1

Topic: Transportation modeling

Objective: no LO

20) The information needs of a transportation problem include

A) the cost of shipping one unit from each origin to each destination

B) the set of destinations and the demand of each

C) the set of origins

D) the supply at each origin

E) all of the above

Diff: 1

Topic: Transportation modeling

Objective: no LO

21) Which of the following is not information needed for a transportation problem?

A) the cost of shipping one unit from each origin to each destination

B) the set of destinations and the demand at each

C) the set of origins and the demand at each origin

D) the list of sources and the capacity at each

E) None of the above is needed.

Diff: 1

Topic: Transportation modeling

Objective: no LO

22) The purpose of the transportation approach for location analysis is to minimize

A) total costs

B) total variable costs

C) total fixed costs

D) total shipping costs

E) the number of shipments

Diff: 2

Topic: Transportation modeling

Objective: no LO

23) The transportation method is a special case of the family of problems known as

A) regression problems

B) decision tree problems

C) linear programming problems

D) simulation problems

E) statistical problems

Diff: 1

Topic: Transportation modeling

Objective: no LO

24) Transportation modeling is best applied when which of the following conditions are met?

A) 1+ source and 2+ destinations

B) 2+ sources and 2+ destinations

C) 1+ source and 1+ destination

D) 2+ sources and 1+ destination

E) Transportation modeling is useful under any of the above conditions.

Diff: 2

Topic: Transportation modeling

Objective: no LO

25) The initial solution to a transportation problem can be generated several ways, so long as

A) it minimizes cost

B) it ignores cost

C) all supply and demand conditions are satisfied

D) degeneracy does not exist

E) all cells are filled

Diff: 2

Topic: Developing an initial solution

Objective: LO-Module C-1

26) The northwest-corner rule is best used

A) to minimize the total shipping cost from several origins to several destinations

B) to calculate whether a feasible solution is also an optimal solution

C) to calculate how much to transfer from one shipping route to another

D) to generate an initial feasible solution to a transportation problem

E) to resolve cases of degeneracy in transportation problems

Diff: 1

Topic: Developing an initial solution

Objective: LO-Module C-1

27) For the problem data set below, what is the northwest corner allocation to the cell Source 1-Destination 1?

A) 0

B) 2

C) 15

D) 90

Diff: 1

Topic: Developing an initial solution

AACSB: Analytic Skills

Objective: LO-Module C-1

28) For the problem data set below, what is the northwest corner allocation to the cell Source 1 -Destination 2?

A) 0

B) 15

C) 25

D) 45

Diff: 2

Topic: Developing an initial solution

AACSB: Analytic Skills

Objective: LO-Module C-1

29) For the problem data set below, what is the northwest corner allocation to the cell Source 3-Destination 3?

A) 0

B) 15

C) 20

D) 35

E) 45

Diff: 2

Topic: Developing an initial solution

AACSB: Analytic Skills

Objective: LO-Module C-1

30) The Northwest-Corner rule's biggest flaw is that

A) it ignores costs

B) it cannot generate feasible solutions

C) it never generates ideal solutions

D) it ignores shipping time

E) There are no major flaws.

Diff: 2

Topic: Developing an initial solution

Objective: LO-Module C-1

31) For the problem below, what is the quantity assigned to the cell Source 1-Destination 2 using the intuitive method for an initial feasible solution?

A) 1

B) 5

C) 30

D) 45

E) 50

Diff: 2

Topic: Developing an initial solution

AACSB: Analytic Skills

Objective: LO-Module C-1

32) For the problem below, what is the quantity assigned to the cell Source 3-Destination 1 using the intuitive method for an initial feasible solution?

A) 3

B) 13.333

C) 30

D) 45

E) 50

Diff: 1

Topic: Developing an initial solution

AACSB: Analytic Skills

Objective: LO-Module C-1

33) The main difference between the intuitive lowest-cost method and the Northwest-corner rule is that

A) the intuitive lowest-cost method always generates a better solution

B) the Northwest-corner rule is faster

C) the Northwest-corner rule ignores cost

D) only the intuitive lowest-cost method generates an optimal solution

E) None of the above are accurate.

Diff: 2

Topic: Developing an initial solution

Objective: LO-Module C-1

34) A transportation problem has a feasible solution when

A) all of the improvement indices are greater than or equal to zero

B) all demand and supply constraints are satisfied

C) the number of filled cells is one less than the number of rows plus the number of columns

D) all the squares are used

E) the solution yields the lowest possible cost

Diff: 2

Topic: The stepping-stone method

Objective: LO-Module C-2

35) A transportation problem has an optimal solution when

A) all of the improvement indices are greater than or equal to zero

B) all demand and supply constraints are satisfied

C) the number of filled cells is one less than the number of rows plus the number of columns

D) all the squares are used

E) all origin-destination combinations have been made equally low in cost

Diff: 2

Topic: The stepping-stone method

Objective: LO-Module C-2

36) In transportation model analysis the stepping-stone method is used to

A) obtain an initial optimum solution

B) obtain an initial feasible solution

C) evaluate empty cells for possible degeneracy

D) balance supply and demand

E) evaluate empty cells for potential solution improvements

Diff: 1

Topic: The stepping-stone method

Objective: LO-Module C-2

37) The total cost of the optimal solution to a transportation problem

A) is calculated by multiplying the total supply (including any dummy values) by the average cost

of the cells

B) cannot be calculated from the information given

C) can be calculated based only on the entries in the filled cells of the solution

D) can be calculated from the original northwest corner solution

E) is found by multiplying the amounts in each cell by the cost for that cell for each row and then subtracting the products of the amounts in each cell times the cost of each cell for the columns

Diff: 2

Topic: The stepping-stone method

Objective: LO-Module C-2

38) Consider the transportation problem and its optimal solution in the tables below. What is the value of the objective function?

A) 0

B) $169

C) 300 units

D) $2,100

E) $3,140

Diff: 2

Topic: The stepping-stone method

AACSB: Analytic Skills

Objective: LO-Module C-2

39) Consider the transportation problem and its optimal solution in the tables below. The cell Source 3 — Destination 3 is currently empty. What would be the change in the objective function if the largest possible amount were shipped using that route, leaving all the supply and demand conditions unchanged?

A) 0

B) fifty units

C) a decrease of $9

D) an increase of $450

E) an increase of $630

Diff: 3

Topic: The stepping-stone method

AACSB: Analytic Skills

Objective: LO-Module C-2

40) In a minimization problem, a negative improvement index in a cell indicates that the

A) solution is optimal

B) total cost will increase if units are reallocated to that cell

C) current iteration is worse than the previous one

D) total cost will decrease if units are reallocated to that cell

E) problem has no feasible solution

Diff: 2

Topic: The stepping-stone method

Objective: LO-Module C-2

41) In a minimization problem, a positive improvement index in a cell indicates that

A) the solution is optimal

B) the total cost will increase if units are reallocated to that cell

C) there is degeneracy

D) the total cost will decrease if units are reallocated to that cell

E) the problem has no feasible solution

Diff: 2

Topic: The stepping-stone method

Objective: LO-Module C-2

42) Consider the transportation problem and its initial solution in the table below. What is the improvement index for the empty cell Source 1 — Destination 3?

A) 0

B) -14

C) -23

D) -70

E) 115

Diff: 2

Topic: The stepping-stone method

AACSB: Analytic Skills

Objective: LO-Module C-2

43) The stepping-stone method

A) is an alternative to using the northwest-corner rule

B) often involves tracing closed paths with a triangular shape

C) is used to identify the relevant costs in a transportation problem

D) is used to evaluate the cost effectiveness of shipping goods via transportation routes not currently in the solution

E) helps determine whether a solution is feasible or not

Diff: 2

Topic: The stepping-stone method

Objective: LO-Module C-2

44) One difference between the stepping-stone method compared to the Northwest-corner and intuitive method is that

A) the stepping-stone method never finds a feasible solution

B) the stepping-stone method ignores costs

C) the stepping-stone method ALWAYS finds a lower-cost solution

D) the stepping-stone method guarantees an optimal solution

E) All of the above or None of the above.

Diff: 2

Topic: The stepping-stone method

Objective: LO-Module C-1 and LO2

45) A transportation problem has improvement indices of 5, 4, 0, and -3. Which of the following is always true?

A) The transportation model is at its ideal solution.

B) The transportation model is at a feasible solution.

C) The total cost saved by changing one unit on the route with an improvement index of 5 would be $5.

D) The transportation matrix has four empty squares.

E) Both B and D

Diff: 2

Topic: The stepping-stone method

Objective: LO-Module C-2

46) An improvement index indicates

A) whether a method other than the stepping-stone should be used

B) whether a method other than the northwest-corner rule should be used

C) how much total cost would increase or decrease if a single unit was reallocated to that cell

D) whether the transportation cost in the upper left-hand corner of a cell is optimal

E) how much total cost would increase or decrease if the largest possible quantity were reallocated to that cell

Diff: 2

Topic: The stepping-stone method

Objective: LO-Module C-2

47) A transportation problem has two origins: A can supply 20 units and B can supply 30 units. This problem has two destinations: C requires 25 units and D requires 35 units. Which of the following is true?

A) The problem will require a dummy demand with a capacity of 10 units.

B) The problem is unbalanced and cannot be solved by the transportation method.

C) The problem will require a dummy supply with a capacity of 10 units.

D) Destinations C and D must each receive 5 units less than they require.

E) None of the above is true.

Diff: 1

Topic: Special issues in modeling

Objective: LO-Module C-3

48) When the number of shipments in a feasible solution is less than the number of rows plus the number of columns minus one

A) the solution is optimal

B) a dummy source must be created

C) a dummy destination must be created

D) there is degeneracy, and an artificial allocation must be created

E) the closed path has a triangular shape

Diff: 2

Topic: Special issues in modeling

Objective: LO-Module C-4

49) In a transportation problem, degeneracy means that

A) the problem was improperly constructed, and must be reformulated

B) the assumptions of the transportation model have not been met

C) the number of filled cells is too small to allow the calculation of improvement indices

D) the total supply and the total demand are unbalanced

E) he number of origins is not equal to the number of destinations

Diff: 1

Topic: Special issues in modeling

Objective: LO-Module C-4

50) A transportation problem has 8 origins and 6 destinations. The optimal solution of this problem will fill no more than __________ cells with quantities to be shipped.

A) 2

B) 13

C) 14

D) 48

E) cannot be calculated without knowing the supply and demand totals

Diff: 1

Topic: Special issues in modeling

AACSB: Analytic Skills

Objective: LO-Module C-3

51) A transportation problem has 4 origins and 2 destinations. The optimal solution of this problem will fill no more than __________ cells with quantities to be shipped.

A) 5

B) 6

C) 8

D) 20

E) All cells will be occupied.

Diff: 1

Topic: Special issues in modeling

AACSB: Analytic Skills

Objective: LO-Module C-3

52) A large transportation problem has 220 origins and 1360 destinations. The optimal solution of this problem will fill no more than about __________ of cells with quantities to be shipped.

A) one-half of one percent

B) five percent

C) ten percent

D) twenty-five

E) All cells will be occupied.

Diff: 2

Topic: Special issues in modeling

AACSB: Analytic Skills

Objective: LO-Module C-3

53) Total demand for a transportation model is 15 while total supply is 20. Which of the following should be included?

A) a dummy source of 20 units

B) a dummy destination of 5 units

C) a dummy source of 5 units

D) a dummy destination of 20 units

E) none of the above

Diff: 2

Topic: Special issues in modeling

Objective: LO-Module C-3

54) Suppose the solution for a transportation model fills 5 cells with quantities to be shipped. Which of the following combinations of sources and destinations would be degenerate?

A) 2 sources, 4 destinations

B) 3 sources, 3 destinations

C) 4 sources, 2 destinations

D) 5 sources, 1 destination

E) None of the above are degenerate.

Diff: 2

Topic: Special issues in modeling

Objective: LO-Module C-4

55) A transportation model fills one half of its cell under the optimal solution. Which of the following most closely describes the number of sources compared to the number of destinations?

A) 1 to 1

B) 2 to 2

C) 3 to 3

D) 4 to 3

E) 4 to 4

Diff: 2

Topic: Special issues in modeling

Objective: LO-Module C-4

56) Which of the following combinations of sources and destinations would fill no more than 25% of cells with quantities to be shipped for the optimal solution?

A) 1 to 1

B) 1 to 4

C) 4 to 1

D) 8 to 2

E) 5 to 16

Diff: 2

Topic: Special issues in modeling

Objective: LO-Module C-4

57) Which of the following is true for degenerate problems?

A) They do not contain a feasible solution.

B) They do not contain an optimal solution.

C) Supply is greater than demand.

D) Demand is greater than supply.

E) None of the above

Diff: 2

Topic: Special issues in modeling

Objective: LO-Module C-4

58) The elements of a transportation problem that supply goods are referred to as __________.

Diff: 1

Topic: Transportation modeling

Objective: no LO

59) The __________ finds the least-cost means of shipping supplies from several origins to several destinations.

Diff: 1

Topic: Transportation modeling

Objective: no LO

60) The three information needs of a transportation problem are the origin points and the capacity at each, the destination points and the demand at each, and __________.

Diff: 2

Topic: Transportation modeling

Objective: no LO

61) The __________ develops an initial feasible solution for a transportation model by starting at the upper left-hand cell of a table and systematically allocating units to shipping points.

Diff: 2

Topic: Developing an initial solution

Objective: LO-Module C-1

62) The __________ is an iterative technique for moving from an initial feasible solution to an optimal solution in the transportation method.

Diff: 2

Topic: The stepping-stone method

Objective: LO-Module C-2

63) A transportation problem that has more units supplied than demanded will require a(n) __________ to balance the problem.

Diff: 2

Topic: Special issues in modeling

Objective: LO-Module C-3

64) __________ is an occurrence in transportation problems when too few shipping routes are being used to allow calculation of improvement indices.

Diff: 2

Topic: Special issues in modeling

Objective: LO-Module C-4

65) The number of routes filled by a solution to a transportation problem is no larger than __________.

Diff: 2

Topic: Special issues in modeling

Objective: LO-Module C-3

66) What is transportation modeling?

Diff: 1

Topic: Transportation modeling

Objective: no LO

67) State, in order, the three steps in making an initial allocation with the northwest-corner rule.

Diff: 2

Topic: Developing an initial solution

Objective: LO-Module C-1

68) What purpose does the northwest-corner rule serve?

Diff: 1

Topic: Developing an initial solution

Objective: LO-Module C-1

69) What does the stepping-stone method do?

Diff: 2

Topic: The stepping-stone method

Objective: LO-Module C-2

70) What is the difference between a feasible solution and an optimal solution?

Diff: 2

Topic: The stepping-stone method

Objective: LO-Module C-2

71) When does degeneracy occur in a transportation model?

Diff: 2

Topic: Special issues in modeling, moderate

Objective: LO-Module C-4

72) When is it necessary to add dummy sources or destinations to a transportation problem?

Diff: 2

Topic: Special issues in modeling

Objective: LO-Module C-4

73) The larger a transportation problem (that is, as the problem has more rows and more columns), the smaller the fraction of all possible routes that will be filled in a solved problem. Explain.

Diff: 2

Topic: Special issues in modeling

AACSB: Analytic Skills

Objective: LO-Module C-3

74) In formulating a transportation problem, you discover that one of the route combinations is forbidden by contract, or prohibited by law, or ruled out by company policy. How would you indicate the cost of that cell in preparing the problem to be solved?

Diff: 2

Topic: Special issues in modeling

Objective: LO-Module C-3

75) How might the transportation method be used to help a firm add a facility to an existing distribution network? You may wish to describe a simple example.

Diff: 2

Topic: Special issues in modeling

AACSB: Reflective Thinking

Objective: LO-Module C-3

76) A transportation problem has 6 origins and 12 destinations. How many possible routes are there for this problem? How many routes will be used in the optimal solution?

Diff: 1

Topic: Special issues in modeling

AACSB: Analytic Skills

Objective: LO-Module C-3

77) A transportation problem has 10 origins and 32 destinations. How many possible routes are there for this problem? How many routes will be used in the optimal solution?

Diff: 1

Topic: Special issues in modeling

AACSB: Analytic Skills

Objective: LO-Module C-3

78) For the data below, construct an initial feasible solution using the northwest-corner rule.

Diff: 2

Topic: Developing an initial solution

AACSB: Analytic Skills

Objective: LO-Module C-1

79) For the transportation problem below, construct an initial feasible solution using the intuitive method.

Diff: 2

Topic: Developing an initial solution

AACSB: Analytic Skills

Objective: LO-Module C-1

80) Consider the transportation problem in the data set and optimal solution below. Verify by hand or by calculator (show your work) the value of the objective function.

Diff: 1

Topic: The stepping-stone method

AACSB: Analytic Skills

Objective: LO-Module C-2

81) Consider the transportation problem in the data set and optimal solution below.

Calculate improvement indices on each empty cell. Is this solution optimal?

Diff: 2

Topic: The stepping-stone method

AACSB: Analytic Skills

Objective: LO-Module C-2

82) Find the minimum cost shipping solution for the transportation problem data set in the table below. Provide a table of shipping quantities and the minimum value for the objective function.

Diff: 2

Topic: The stepping-stone method

AACSB: Analytic Skills

Objective: LO-Module C-2

83) Consider the transportation data set for a minimization problem below.

a. Calculate the initial solution using the northwest-corner rule.

b. Calculate improvement indices, iterate, and solve for the optimal shipping pattern.

Diff: 2

Topic: The stepping-stone method

AACSB: Analytic Skills

Objective: LO-Module C-2

84) Find the minimum cost solution for the transportation problem detailed in the table below. Explain carefully the meaning of any quantity in a "dummy" row or column.

Diff: 2

Topic: The stepping-stone method

AACSB: Analytic Skills

Objective: LO-Module C-2

85) The Shamrock Transportation Company has four terminals: A, B, C, and D. At the start of a particular day, there are 8, 8, 6, and 3 tractors available at those terminals, respectively. During the previous night, trailers were loaded at plants R, S, T, and U. The number of trailers at each plant is 2, 12, 5, and 6, respectively. The company dispatcher has determined the distances between each terminal and each plant, as follows. How many tractors should be dispatched from each terminal to each plant in order to minimize the total number of miles traveled?

Diff: 3

Topic: The stepping-stone method

AACSB: Analytic Skills

Objective: LO-Module C-2

86) Find the minimum cost solution for the transportation problem detailed in the table below.

Before your solution can be implemented, you discover that the combination Source 3 — Destination 1 is unavailable, due to political turmoil in the country where Source 3 is located. Solve the revised problem. How much is cost increased by this complication?

The revision is accomplished by assigning the prohibited cell a very high cost, such as $1,000. This solution appears in the second table; its cost is $1,535. The increase in cost is $310.

Diff: 3

Topic: The stepping-stone method

AACSB: Analytic Skills

Objective: LO-Module C-2

87) A firm has established a distribution network for the supply of a raw material critical to its manufacturing. Currently there are two origins for this raw material, which must be shipped to three manufacturing plants. The current network has the following characteristics:

The firm has identified two potential sites for a third raw material source; these are identified as Candidate A and Candidate B. From A, the costs to ship would be $9 to Plant 1, $10 to Plant 2, and $12 to Plant 3. From B, these costs would be $11, $14, and $8. The new source, wherever it is located, will have a capacity of 500 units. Set up–but DO NOT SOLVE– this problem as though you were going to solve it with transportation problem software.

Diff: 2

Topic: Transportation modeling

AACSB: Analytic Skills

Objective: no LO

88) A firm has established a distribution network for the supply of a raw material critical to its manufacturing. Currently there are two origins for this raw material, which must be shipped to three manufacturing plants. The current network has the following characteristics:

The firm has identified two potential sites for a third raw material source; these are identified as Candidate A and Candidate B. From A, the costs to ship would be $9 to Plant 1, $10 to Plant 2, and $12 to Plant 3. From B, these costs would be $11, $14, and $8. The new source, wherever it is located, will have a capacity of 500 units. Solve with the transportation method. Which site should be selected?

The solutions to these problems appear in the tables below.

Candidate A should be selected.

Diff: 3

Topic: The stepping-stone method

AACSB: Analytic Skills

Objective: LO-Module C-2

89) A manufacturer of semiconductor "wafers" has been attempting to convert its operations to practices more in keeping with JIT principles. The firm is now paying much more attention to the transit time between one processing stage and the next. The plant has a somewhat haphazard pattern of machine locations, partly because the machines were purchased and installed at different times, partly from a shortage of floor space, and partly from previous experiments with work cells. The bottom line is this: there are four machines that perform a certain processing phase, and three machines that perform the next phase. All units of a large class of wafers go through these two phases. The table below displays the transit time, in minutes, from each machine of the first phase to each machine of the second. Machine 3 is not really 100 minutes away from machine B; the company has prohibited that combination because of quality problems associated with that specific pairing. Supply and demand quantities are in wafers processed per week. Develop a transit time minimizing solution for this firm. What is the total transit time of this solution? Which machines are fully utilized? Which machines have some capacity unused or requirements unfilled? Was the prohibition on the 3-B combination honored?

Diff: 3

Topic: The stepping-stone method

AACSB: Analytic Skills

Objective: LO-Module C-2

90) A transportation model's optimal solution uses no more than 8% of cells and has 100 sources. Find the number of destinations.

99+X= number of cells used, 100X = total number of cells, (99+X)/100X = .08 thus X=14.14 = 14 destinations.

Diff: 2

Topic: Special issues in modeling

AACSB: Analytic Skills

Objective: LO-Module C-4

91) Given the following feasible solution determine if the problem is degenerate and then find the optimal solution and its cost. Assume that capacity for source A is 10 and 30 for source B. Destination A demands 10 units while destination B demands 30 units. Cost of shipping per unit is given as AA ($4), AB ($1), BA ($3), and BB ($2).

This solution has a total cost of 10*3+10*1+20*2= $80 (compared to $100 from the initial solution).

Diff: 2

Topic: Special issues in modeling

AACSB: Analytic Skills

Objective: LO-Module C-2 and LO4

92) Source A has capacity of 15, Source B has capacity of 30, Destination 1 has demand of 5 and Destination 2 has demand of 20. Fill in the following table with the correct initial solution for a Northwest-corner method approach.

Diff: 2

Topic: Special issues in modeling

AACSB: Analytic Skills

Objective: LO-Module C-1 and LO3

93) A transportation model uses only 5% of its cells. If the number of destinations is 1000, determine the number of sources in the model.

Diff: 2

Topic: Special issues in modeling

AACSB: Analytic Skills

Objective: LO-Module C-4

94) A transportation model uses at least 10 sources and 100 destinations. If the ratio of sources to destinations remains constant, does the maximum % of cells used by the optimum solution remain constant? Why or why not?

Diff: 3

Topic: Special issues in modeling

AACSB: Analytic Skills

Objective: LO-Module C-4