Consider the Transportation Problem and Its Optimal Solution in the Tables

question 75

Multiple Choice

Consider the transportation problem and its optimal solution in the tables below.The cell Source 3 - Destination 3 is currently empty.What would be the change in the objective function if the largest possible amount were shipped using that route,leaving all the supply and demand conditions unchanged?

• A)0
• B)fifty units
• C)a decrease of $9
• D)an increase of $450
• E)an increase of $630

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Definitions:

Japanese Dominance

A period or concept where Japan excels or has excelled significantly in certain industries or economic sectors, outperforming competitors.

Absolute Advantage

The ability of an entity to produce a good or service more efficiently than its competitors, using fewer resources.

Opportunity Cost

The cost of forgoing the next best alternative when making a decision or choice.

Absolute Advantage

The ability of an individual, company, or country to produce a good or service at a lower cost per unit than other competitors with the same quality.