Which Allocation Maximizes Factory Profits?

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The discussion focuses on maximizing factory profits through optimal allocation of materials from factories A, B, and C to dealers L, M, N, and P. Participants suggest using transportation algorithms like the North West Corner Rule or the Minimum Cost Method to determine the best allocation. A hint is provided to reverse certain inequalities to facilitate the solution. A resource link is shared for further understanding of transportation algorithms. The goal is to find the allocation that yields the highest profits for the factories involved.
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The table below records the profits that are made when one unit of material is sold by factories A,B, C to dealers L,M,N, P. The output of each factory and demand from each dealer are given in brackets
( A,B,C ) -> L(30) M(30) N(30) P(45)
A(100) -> 25 30 20 20
B(20) -> 30 25 15 10
C(15) -> 10 35 5 30

Find the allocation which maximises the profits for the factories.
(Hint: this is similar to a transportation problem . You need to decide which inequalities should be reversed.)
 
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grandy said:
The table below records the profits that are made when one unit of material is sold by factories A,B, C to dealers L,M,N, P. The output of each factory and demand from each dealer are given in brackets
( A,B,C ) -> L(30) M(30) N(30) P(45)
A(100) -> 25 30 20 20
B(20) -> 30 25 15 10
C(15) -> 10 35 5 30

Find the allocation which maximises the profits for the factories.
(Hint: this is similar to a transportation problem . You need to decide which inequalities should be reversed.)

Hi grandy, :)

You have to subtract each element in the table from the largest element of the table and apply a transportation algorithm such as the North West Corner Rule or the Minimum Cost Method. The following article will give you a good description about each of the transportation algorithms.

http://homes.ieu.edu.tr/~ykazancoglu/BA228/Transportation.pdf

You can check your solution >>here<<.

Kind Regards,
Sudharaka.
 

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