Pharma Inc. manufactures a pharmaceutical product at two
factories, one in Memphis and one in Denver. The Memphis factory can
produce as many as 150 products, and the Denver factory can produce
as many as 200 products per day. The products are shipped by air to customers
in LA and Boston. The customers in each city require 130 products per day.
Because of the deregulation of airfares, Pharma Inc. believes that it may be
cheaper first fly some products to NY or Chicago and then fly them to their
final destinations. The cost of flying a product are shown next. Pharma wants
to minimize the total cost of shipping the required products to customers
|
|
Memphis |
Denver |
N.Y. |
Chicago |
L.A. |
Boston |
|
From↓ |
||||||
|
Memphis |
$0 |
—- |
$8 |
$13 |
$25 |
$28 |
|
Denver |
—- |
$0 |
$15 |
$12 |
$26 |
$25 |
|
N.Y. |
—- |
—- |
$0 |
$6 |
$16 |
$17 |
|
Chicago |
—- |
—- |
$6 |
$0 |
$14 |
$16 |

