D2 June 2013 (R) Q3
3. Table 1 below shows the cost, in pounds, of transporting one unit of stock from each of four supply points, A, B, C and D, to four demand points 1, 2, 3 and 4. It also shows the stock held at each supply point and the stock required at each demand point. A minimum cost solution is required.
| 1 | 2 | 3 | 4 | Supply | |
|---|---|---|---|---|---|
| A | 22 | 36 | 19 | 37 | 35 |
| B | 29 | 35 | 30 | 36 | 15 |
| C | 24 | 32 | 25 | 41 | 20 |
| D | 23 | 30 | 23 | 38 | 30 |
| Demand | 30 | 20 | 30 | 20 |
Table 1
Table 2 shows an initial solution given by the north-west corner method.
Table 3 shows some of the improvement indices for this solution.
| 1 | 2 | 3 | 4 | |
|---|---|---|---|---|
| A | 30 | 5 | ||
| B | 15 | 0 | ||
| C | 20 | |||
| D | 10 | 20 |
Table 2
| 1 | 2 | 3 | 4 | |
|---|---|---|---|---|
| A | x | x | ||
| B | x | x | ||
| C | 8 | 2 | x | 1 |
| D | 9 | 2 | x | x |
Table 3
| Scheme | Marks |
|---|---|
| The solution would otherwise be degenerate | B1 |
| (1) |
Notes
a1B1: CAO
| Scheme | Marks | ||||||||||||||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| M1 A1 M1 A1 | ||||||||||||||||||||||||||||||||||||
| (4) |
Notes
b1M1: 8 shadow costs stated.
b1A1: CAO
b2M1: Remaining 4 IIs stated.
b2A1: CAO
(b) Alternative shadow costs:
1(0) 2(14) 3(9) 4(24)
A(22) B(21) C(16) D(14)
| Scheme | Marks |
|---|---|
| Route is e.g. A3 – B3 – B2 – A2 | M1 A1 |
| entering cell A3, Exiting cell B3 | A1 |
| (3) | |
| 8 marks |
Notes
c1M1: A valid route (possibly drawn), their most negative II chosen, only one empty square used, \(\theta\)’s balance.
c1A1: CAO – stepping stone route stated or clearly shown on separate diagrams
c2A1: CAO for entering and exiting cells.