Marc Hernandez’s construction firm currently has three projects in progress Each requires a specific supply of gravel. There are three gravel pits available to provide for Hernandezs needs, but shipping costs differ from location to location. The following table summarizes the transportation costs:
From Job I Job 2 Job 3 Tonnage Allowance Central pit $9 S 8 S 7 3.000
Rock pit $7 $11 $6 4000
Acmepit $4 53 $12 6.000
Job requirements (tons) 2.500 3.750 4850
a Determine Hemandezs optimal shipping quantities so as to minimize total transportation costs.
b It is the case that Rock Pit and Central Pit can send gravel by rail to Acme for Si per ton. Once the gravel is relocated, it can be trucked to the jobs. Reformulate this problem to determine how shipping by rail could reduce the transportation costs for the gravel.
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