Use This Information to Answer the Following Questions The Company Wants to Come Up with an Optimal Shipping

question 39

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:
$\begin{array}{ll}\text { Demand (units) } & \text { Capacity (units) } \\\text { R1:300 } & \text { F1:250 } \\\text { R2: } 500 & \text { F2: } 350 \\\text { R3:200 } & \text { F3:400 }\end{array}$

$\begin{array}{l}\text { Shipping Cost/unit (\$) }\\\begin{array}{lll}&\mathrm{R} 1 & \mathrm{R} 2& \mathrm{R} 3 \\F1&1&3&2\\F2&3 & 4 & 2 \\F3&2 & 2 & 3\end{array}\end{array}$

The company wants to come up with an optimal shipping strategy that will allow it to minimize its total shipping cost.

-Use the Sensitivity Report to answer the following questions:
a.Will any of the retail outlets experience any shortages in meeting their demand requirements if we implement the optimal solution?
b.Will any of the factories have any remaining quantities of the product if we implement the optimal solution?
c.What is the total minimal shipping cost?

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Definitions:

Brand Awareness

The degree to which consumers are familiar with the distinctive qualities or image of a particular brand of goods or services.

Unaided Recall

A measure of how well a brand or product is remembered by consumers without any prompts or cues.

Staircase Analysis

An approach to incremental planning or problem-solving that envisions steps or stages, much like climbing a staircase, to reach a desired outcome.

Aided Recall

A measure of brand awareness where consumers recognize a brand when provided with some prompt, contrasting with unaided recall where no prompt is provided.