The Objective of the Transportation Problem Is to

question 44

Multiple Choice

The objective of the transportation problem is to

• A)identify one origin that can satisfy total demand at the destinations and at the same time minimize total shipping cost.
• B)minimize the number of origins used to satisfy total demand at the destinations.
• C)minimize the number of shipments necessary to satisfy total demand at the destinations.
• D)minimize the cost of shipping products from several origins to several destinations.

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Definitions:

Selling Price

The amount charged to customers for goods or services, determining the revenue generated from sales.

Sales Volume

The number of units of a product sold in a particular period, indicative of the level of demand and operational success.

Net Operating Income

A company's income after operating expenses are subtracted but before deducting taxes and interest charges.

Selling Price

The sum charged to consumers for a product or service.