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  3. 3. allied freight supplies goods to three customer

3. Allied Freight supplies goods to three customers, who each require 30 units. The company...

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Accounting

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3. Allied Freight supplies goods to three customers, who each require 30 units. The company has two warehouses. In warehouse 1,40 units are avallable, and in warehouse 2, 30 units are avallable. The costs of shipping one unit from each warehouse to each customer are shown below. There is a penalty for each unsatisfied customer unit of demand - with customer 1, a penalty cost of $90 is Incurred; with customer 2,$80; and with customer 3,$110. a. Determine how to minimize the sum of penalty and shipping costs. Optimal cost - $3,000 ) b. Use SolverTable to see how a change in the unit penalty cost of customer 3 ( $30 to $130 in steps of $10 ) affects the optimal cost. c. Use SolverTable to see how a change in the capacity of warehouse 2 ( 10 to 70 in steps of 10) affects the optimal cost

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