Use This Information to Answer the Following Questions Shipping Cost/unit ($)

question 8

Essay

Use this information to answer the following questions.
A company can ship its product from any of its three factories,F1,F2,and F3,to any of its retail outlets,R1,R2,and R3.The capacity,demand,and shipping cost information is provided as follows:
$\begin{array}{ll}\text { Demand (units) } & \text { Capacity (units) } \\\hline \text { R1:300 } & \text { F1:250 } \\\text { R2: } 500 & F 2: 350 \\\text { R3:200 } & \text { F3:400 }\end{array}$



Shipping Cost/unit ($)
$\begin{array}{lll}&&\mathrm{R} 1 & \mathrm{R} 2 & \mathrm{R} 3\end{array}$
$\begin{array}{llll}\mathrm{F} 1 & 1 & 3 & 2 \\ \text { F2 } & 3 & 4 & 2 \\ \text { F3 } & 2 & 2 & 3\end{array}$


-Refer to the information above.Assume that demand for retail outlet three (R3)increases to 300 units.How will this affect the shipping cost? Use Excel to formulate and solve this problem

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