Lesson-6 2
Lesson-6 2
Lesson-6 2
1
The cost (in hundred pesos) of transporting per ton of rice from source to destinations are:
X Y Z
A 9 10 10
B 15 20 15
C 6 9 12
Find the optimal strategy and minimum cost of transporting these rice from source to destina-
tions?
The three given tables above can be summarized into a single table below:
X Y Z Supply
A 9 10 10 36
B 15 20 15 44
C 6 9 12 80
Demand 27 68 65
Solution:
Set up the initial table using the Northwest Rule.
Table 1
Improvement Index:
AZ: 10 - 10 + 9 - 12 = -3
BX: 15 - 20 + 10 - 9 = -4
BZ: 15 - 20 + 9 - 12 = -8
CX: 6 - 9 + 10 - 9 = -2
Since BZ has the most negative value (-8), then in Table 2, we make the necessary adjust-
ment starting with BZ.
2
Table 2
Improvement Index:
AZ: 10 - 10 + 9 - 12 = -3
BX: 15 - 15 + 12 - 9 + 10 - 9 = 4
BY: 20 - 9 + 12 - 15 = 8
CX: 6 - 9 + 10 - 9 = -2
Since AZ has the most negative value (-3), then in Table 3, we make the necessary adjust-
ment starting with AZ.
Table 3
Improvement Index:
AY: 10 - 9 + 6 - 9 = -2
BX: 15 - 15 + 10 - 9 = 1
BY: 20 - 15 + 10 - 9 + 6 - 9 = 3
CZ: 12 - 10 + 9 - 6 = 5
Since AY has the most negative value (-2), then in Table 4, we make the necessary adjust-
ment starting with AY.
3
Table 4
Improvement Index:
AX: 9 - 6 + 9 - 10 = 2
BX: 15 - 6 + 9 - 10 + 10 - 15 = 3
BY: 20 - 15 + 10 - 10 = 5
CZ: 12 - 10 + 10 - 9 = 3
Since all improvement indices have values greater than or equal to zero (non negative values),
then the optimal solution has been obtained.
Assignment L-6.2
1. The SM Group of Companies transport from three warehouses, A, B, and C to three
malls X, Y, and Z. Below is the summary table showing the number of tons per week of goods
supplied, demanded and cost(in hundred pesos) of transporting per ton of cement.
X Y Z Supply
A 1 2 2 224
B 4 6 4 328
C 2 4 6 308
Demand 288 408 164
Find the optimal strategy that will minimize the total cost of transporting goods from each
warehouse to mall.