FlexSteal,marketed as a Miracle Brush-On Sealant and Baldness Cure,is Manufactured

question 2

Essay

FlexSteal,marketed as a miracle brush-on sealant and baldness cure,is manufactured at three plants that are struggling to keep up with the demand at the four regional centers.The cost to ship a truckload from each of the existing plants to the regional centers is shown in the table.
$$\begin{array} { | l | c | c | c | c | c | } \hline & \text { Philadelphia } & \text { Atlanta } & \text { Dallas } & \text { Los Angeles } & \text { Capacity } \\\hline \text { Plant 1 } & 89 & 75 & 93 & 115 & 400 \\\hline \text { Plant 2 } & 120 & 88 & 103 & 93 & 400 \\\hline \text { Plant 3 } & 95 & 82 & 112 & 98 & 400 \\\hline \text { Total Demand } & 350 & 350 & 350 & 350 & \\\hline\end{array}$$ The supply chain manager has explored plant construction costs in two other cities as well as the cost to ship a truckload from each of the plants to the regional centers.The current plan is to build another plant with a capacity of 400 to allow room for sales growth.The construction cost for the new plants and cost to ship to each of the regional centers is shown here.
$$\begin{array} { | l | c | c | c | c | c | } \hline & \text { Philadelphia } & \text { Atlanta } & \text { Dallas } & \text { Los Angeles } & \text { Cost to Build } \\\hline \text { Plant A } & 94 & 78 & 95 & 95 & \$ 23,500 \\\hline \text { Plant B } & 95 & 88 & 88 & 94 & \$ 26,000 \\\hline\end{array}$$
-What is the lowest cost solution for the adding a new plant?

---

Definitions:

Unidentified Principal

Refers to a situation in agency law where an agent acts on behalf of a principal, but the identity of the principal is not disclosed to the third party.

Actual Authority

The express or implied power granted by a principal to its agent, allowing the agent to perform acts on the principal's behalf, which legally binds the principal with third parties.

Apparent Authority

The appearance or assumption of authority based on the actions, words, or deeds of the principal or because of circumstances the principal created.

Doctrine of Estoppel

A legal principle that prevents a person from asserting something contrary to what is implied by a previous action or statement by them, or by a previous relevant judicial determination.