What Is the Optimal Location for These Departments in the Floor

question 65

Essay

What is the optimal location for these departments in the floor plan depicted if the transportation cost is $2 per foot and the departments have a daily number of trips between each other as shown?
Daily Number of Trips Between Departments
$$\begin{array} { | c | c | c | c | c | c | } \hline & \mathrm { A } & \mathrm { B } & \mathrm { C } & \mathrm { D } & \mathrm { E } \\\hline \mathrm { A } & \cdots & 20 & 40 & 60 & 80 \\\hline \mathrm { B } & & \cdots & 10 & 30 & 50 \\\hline \text { C } & & & \cdots & 0 & 15 \\\hline \mathrm { D } & & & & \cdots & 5 \\\hline \text { E } & & & & & \cdots \\\hline\end{array}$$ Floor Plan
$$\begin{array} { l | l | l | l | l } \hline \text { Office Space } 1 & \text { Office Space } 2 & \text { Office Space } 3 & \text { Office Space } 4 & \text { Office Space } 5 \\\hline\end{array}$$ Distance Between Offices
$$\begin{array} { | l | c | c | c | c | c | } \hline \text { Office Space } & 1 & 2 & 3 & 4 & 5 \\\hline \hline 1& \cdots & 10 & 20 & 30 & 40 \\\hline \hline2 & & \cdots & 10 & 20 & 30 \\\hline \hline 3& & & \cdots & 10 & 20 \\\hline \hline 4& & & & \cdots & 5 \\\hline 5 & & & & & \cdots \\\hline\end{array}$$

Grasp Freud's theory on conversion disorders and the concept of secondary gain.

Understand the basic concepts of motivation and its various types including extrinsic and intrinsic motivation.

Comprehend Maslow's hierarchy of needs and its application to human behavior.

Recognize the physiological and psychological mechanisms regulating hunger, thirst, and body weight.

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Definitions:

Maximizing Utility

Maximizing Utility refers to the economic goal of consumers to gain the highest level of satisfaction from their consumption choices, within their budget constraints.

Salience of Prices

The degree to which the price of a good or service stands out to consumers and influences their purchasing decisions.

Consumer Surplus

The difference between the total amount that consumers are willing and able to pay for a good or service and the total amount that they actually do pay.

Law of Diminishing Marginal Utility

The principle that as a person consumes more of a product, the satisfaction (utility) gained from consuming each additional unit decreases.