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A - C Case Problem 3

This document contains information about 3 different plants including their fixed costs, variable costs, and distribution centers. It also provides the production capacity and costs for different scenarios where each plant is closed individually. The optimal solution is presented with Plant 1 closed and a total production cost of $222,360.

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Rupesh Chaudhari
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0% found this document useful (0 votes)
81 views4 pages

A - C Case Problem 3

This document contains information about 3 different plants including their fixed costs, variable costs, and distribution centers. It also provides the production capacity and costs for different scenarios where each plant is closed individually. The optimal solution is presented with Plant 1 closed and a total production cost of $222,360.

Uploaded by

Rupesh Chaudhari
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as XLSX, PDF, TXT or read online on Scribd
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Case Solution question 3

Fixed cost Variable costs Distribution Centers

operating non-operating regular overtime Wing 1 Wing 2 Wing 3 Wing 4


Plant 1 14000 6000 2.8 3.52 0.5 0.44 0.49 0.46
Plant 2 12000 5000 2.78 3.48 0.4 0.52 0.5 0.56
Plant 3 15000 7500 2.72 3.42 0.56 0.53 0.51 0.54

9000 13000 11000 15000

Plant 1 is closed

wing 1 wing 2 wing 3 wing 4 wing 5 Sum regular overtime


Plant 2 9000 5000 11000 0 0 25000 20000 5000
Plant 3 0 8000 0 15000 8000 31000 25000 6000

sum 9000 13000 11000 15000 8000


demands 9000 13000 11000 15000 8000
56000

Objective
Function 221360

Plant 2 is closed

wing 1 wing 2 wing 3 wing 4 wing 5 Sum regular overtime


Plant 1 0 13000 0 14000 0 27000 27000 0
Plant 3 9000 0 11000 1000 8000 29000 25000 4000

sum 9000 13000 11000 15000 8000


demands 9000 13000 11000 15000 8000

Objective
Function 217430

Plant 3 is closed

wing 1 wing 2 wing 3 wing 4 wing 5 Sum regular overtime


Plant 1 0 13000 0 15000 3000 31000 27000 4000
Plant 2 9000 0 11000 0 5000 25000 20000 5000

sum 9000 13000 11000 15000 8000


demands 9000 13000 11000 15000 8000

Objective
Function 222430
enters

Wing 5 capacity overtime


0.56 27000 7000
0.57 20000 5000
0.35 25000 6000

8000

Total
Productio
n overtime
capacity regular overtime regular cost cost
25000 20000 5000 55600 17400
31000 25000 6000 68000 20520

Total
Productio
n overtime
capacity regular overtime regular cost cost
34000 27000 7000 75600 0
31000 25000 6000 68000 13680
Total
Productio
n overtime
capacity regular overtime regular cost cost
34000 27000 7000 75600 14080
25000 20000 5000 55600 17400

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