Consider the Transportation Problem in the Data Set and Optimal

question 95

Essay

Consider the transportation problem in the data set and optimal solution below. Verify by hand or by calculator (show your work) the value of the objective function. $\begin{array}{|l|r|r|r|r|r|}\hline \text { COSTS } & \text { Dest. 1 } & \text { Dest 2 } & \text { Dest. 3 } & \text { Dest. 4 } & \text { Supply } \\\hline \text { Source 1 } & 12 & 18 & 9 & 11 & 105 \\\hline \text { Source 2 } & 19 & 7 & 30 & 15 & 145 \\\hline \text { Source 3 } & 8 & 10 & 14 & 16 & 50 \\\hline \text { Demand } & 80 & 60 & 70 & 90 & 300/300 \\\hline\end{array}$

$\begin{array}{|lrrrrr|}\hline \text { Shipments } & \text { Dest. 1 } & \text { Dest. 2 } & \text { Dest. 3 } & \text { Dest. 4 } & \text { Row Total } \\\text { Source 1 } & 30 & 0 & 70 & 5 & 105 \\\text { Source 2 } & 0 & 60 & 0 & 85 & 145 \\\text { Source 3 } & 50 & 0 & 0 & 0 & 50 \\\text { Col. Total } & 80 & 60 & 70 & 90 & 300 \backslash 300 \\\hline\end{array}$

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Definitions:

Foreign Exchange Market

A global marketplace for exchanging national currencies against one another, facilitating international trade and investment.

Mexican Pesos

The currency of Mexico, symbolized as $ or MXN, used for all financial transactions within the country.

Price of Foreign Exchange

The rate at which one currency can be exchanged for another, often determined by supply and demand in the foreign exchange market.

U.S. Dollar

A major global currency issued by the United States, commonly used in international financial transactions and as a reserve currency.