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

question 40

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 the road leading from factory F1 to retail outlet R1 is currently closed due to construction.How will this affect the shipping cost? Use Excel to formulate and solve this problem.

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