[All Steps] A Trucking company has just purchased 30 additional trucks for each of three warehouses (Charlotte, Memphis and Louisville) to ship merchandise
Question:
A Trucking company has just purchased 30 additional trucks for each of three warehouses (Charlotte, Memphis and Louisville) to ship merchandise to terminals in St Louis, Atlanta and New York. The maximum additional capacity at each terminal is 40, 60 and 50 truckloads per week. Any warehouse can complete 2 trips per week to the St Louis and Atlanta terminals, but only one trip per week to NY.
The average profits/truckload for shipments from warehouses to terminal are given below
Warehouse
St. Louis Atlanta New York
Charlotte
1800
2100
1600
Memphis
1000
700
900
Louisville
1400
800
2200
How many trucks should be assigned to each route to maximize total profit?
St. Louis can absorb an additional 20 truckloads per week at a reduction in unit profit of $300/truckload. Should they plan on this? Why or Why not? (14pts)
Deliverable: Word Document 