Sinclair Plastics Operates Two Chemical Plants Which Produce Polyethylene; the Ohio

question 19

Essay

Sinclair Plastics operates two chemical plants which produce polyethylene; the Ohio Valley plant, which produces 5000 tons per month, and the Lakeview plant, which can produce 7000 tons per month. Sinclair sells its polyethylene to three different GM auto plants: Grand Rapids (demand = 3000 tons per month), Blue Ridge (demand = 5000 tons per month), and Sunset (demand = 4000 tons per month). The costs of shipping between the respective plants is shown in the table below:
-What is the optimal shipping plan? What are the total costs in that case?

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Definitions:

Research Study

A systematic investigation and analysis of materials and sources in order to establish facts and reach new conclusions.

Participant Observation

A research method in qualitative research where researchers immerse themselves in a group to observe and participate in its activities, gaining an insider's perspective.

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An organized group of individuals often involved in criminal activities and identified by their control of a particular territory, use of particular symbols, and loyalty to the group.

Sudhir Venkatesh

An American sociologist known for his detailed research and work in urban neighborhoods, highlighting issues of poverty, crime, and gang life.