The Figure Below Shows the Possible Routes from City a to City

question 48

Multiple Choice

The figure below shows the possible routes from city A to city M as well as the cost (in dollars) of a trip between each pair of cities (note that if no arc joins two cities it is not possible to travel non-stop between those two cities) . A traveler wishes to find the lowest cost option to travel from city A to city
M. Which type of network optimization problem is used to solve this problem?

• A) Maximum-Cost Flow problem
• B) Average-Cost Flow problem
• C) Maximum Flow Problem
• D) Minimum Flow Problem
• E) Shortest Path Problem

---

Definitions:

High-Low Method

A method applied within cost accounting that determines variable and fixed costs by examining the extremes of activity levels.

Fixed Cost

Costs that remain constant regardless of the amount of output or sales, like lease payments, wages, and insurance fees.

High-Low Method

A technique used in cost accounting to determine variable and fixed costs based on the highest and lowest levels of activity.

Machine Hours

A measure of the amount of time a machine is in operation, used as a basis for allocating manufacturing overhead to products.