Three fertilizers factories X, Y and Z located at different places of the country produce 6,4...

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Operations Management

Three fertilizers factories X, Y and Z located at differentplaces of the country produce 6,4 and 5 lakh tones of urearespectively. Under the directive of the central government, theyare to be distributed to 3 States A, B and C as 5, 3 and 7 lakhrespectively. The transportation cost per tones in rupees is givenbelow:
FACTORIES State A State B State C
X 11 17 16
Y 15 12 14
Z 20 12 15
Find out suitable transportation pattern at minimum cost byNorth West Corner method and Least Cost method.

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3.8 Ratings (618 Votes)

Answer a Solution Using NorthWest CornerRuleStep 1 First prepare the following tableStep 2The rimvalues for X6and A5are comparedThe smaller of the two ie min65 5is assigned to X AThis meets the complete demandof Aand leaves 6 5 1 units withXStep 3 The rim values forX1 and B3are comparedThe smaller of the two ie min13 1is assigned to X BThis exhausts the capacity ofX and leaves 3 1 2 units See Answer

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FACTORIES	State A	State B	State C
X	11	17	16
Y	15	12	14
Z	20	12	15