A Transportation Problem with 8 Sources and 6 Destinations Will

question 70

True/False

A transportation problem with 8 sources and 6 destinations will have an optimal solution that uses at most 13 of the 48 possible routes.

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Definitions:

Productive Efficiency

A situation in which an economy or entity can no longer produce additional amounts of a good without lowering the production level of another product.

Substitute Goods

Products or services that can be used in place of each other, having a positive cross-elasticity of demand.

Productive Efficiency

A situation in which a good or service is produced at the lowest possible cost.

Quantity of Goods

The total number of physical units of a product or commodity that are available in the market.