A Transportation Problem with 3 Factories and 4 Customers Will

question 3

True/False

A transportation problem with 3 factories and 4 customers will have 12 fixed-requirement constraints.

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Definitions:

Contribution Margin

The amount by which sales revenue exceeds variable costs, used to cover fixed costs and to generate profit.

Sales Quantity

The total number of units of a product or service sold within a specific period.

Variable Cost

A corporate expense that changes in proportion with the level of output or sales.

Fixed Costs

Charges that stay the same no matter how much is manufactured or sold, including rental fees, employee pay, and protection premiums.