P&T CO.
DISTRIBUTION PROBLEM
Unit Cost Destination (Warehouse)
Sacramento Salt Lake City Rapid City
Source Bellingham $464 $513 $654
(Cannery) Eugene $352 $416 $690
Albert Lea $995 $682 $388
Destination (Warehouse)
Shipment Quantity Sacramento Salt Lake City Rapid City
(Million Barrels) Bellingham 0 20 0
Source Eugene 80 45 0
(Cannery) Albert Lea 0 0 70
Total Received 80 65 70
= = =
Demand 80 65 70
ehouse)
Albuquerque Supply = Demand
$867
$791
$685
ehouse)
Albuquerque Total Shipped Supply
55 75 = 75
0 125 = 125
30 100 = 100
85
=
85 Total Cost
$152,535