Use the Table Below to Answer the Following Question(s) Amount Shipped from Plant I to Distribution Center J, Where

question 39

Multiple Choice

Use the table below to answer the following question(s) .
The Riviera Transport Company (RTC) produces car accessories at two plants: Dallas and Atlanta.They ship them to major distribution centers in Houston, San Jose, Jacksonville, and Memphis.The accounting, production, and marketing departments have provided the information in the table below, which shows the unit cost of shipping between any plant and distribution center, plant capacities over the next planning period, and distribution center demands.RTC's supply chain manager faces the problem of determining how much to ship between each plant and distribution center to minimize the total transportation cost, not exceed available capacity, and meet customer demand.
Assume Xᵢⱼ = $$\begin{array} { | l | l | l | l | l | l | } \hline \begin{array} { l } \text { Transportation } \\\text { Model }\end{array} & & & & & \\\hline & & & & & \\\hline \text { Data } & & & & & \\\hline & \begin{array} { l } \text { Distribution } \\\text { Center }\end{array} & & & & \\\hline \text { Plant } & \text { Houston } & \text { San Jose } & \text { Jacksonville } & \text { Memphis } & \text { Capacity } \\\hline \text { Dallas } & 13.00 & 15.25 & 10.99 & 18.48 & 1250 \\\hline \text { Atlanta } & 10.75 & 15.16 & 9.65 & 18.50 & 750 \\\hline \text { Demand } & 175 & 325 & 480 & 950 & \\\hline\end{array}$$ amount shipped from plant i to distribution center j, where i = 1 represents Dallas, i = 2 represents Atlanta, j = 1 represents Houston, and so on.
Answer the following question(s) using a linear optimization model.
-Which of the following is the constraint for total amount shipped from Atlanta?

• A)X₁₁ + X₁₂ + X₁₃ + X₁₄ - X₂₁ + X₂₂ + X₂₃ + X₂₄ ≤ 850
• B)X₂₁ + X₂₂ + X₂₃ + X₂₄ ≤ 750
• C)X₂₁ + X₂₂ + X₂₃ + X₂₄ ≤ 1250
• D)X₁₁ + X₁₂ + X₁₃ + X₁₄ ≤ 1250

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Definitions:

Inelastic Demand

A situation where the demand for a product does not significantly change with a change in price.

Elastic Supply

A situation where the supply of a good changes significantly when its price changes.

Tax Burden

The measure of the impact of taxation on an individual's or entity's income, assets, or purchasing power.

Elastic

Describes a situation in economics where the supply or demand for a good or service is sensitive to changes in price. In other words, a small change in price results in a larger change in quantity demanded or supplied.