Table 13.9 Sagebrush Company Has Four Warehouses (A, B, C, and D)

Multiple Choice

Table 13.9
Sagebrush Company has four warehouses (A, B, C, and D) that require monthly shipments of 250, 200, 300, and 200 units per month, respectively. Its three plants (1, 2, and 3) have monthly capacities of 300, 400, and 250, respectively. Plant capacities, warehouse needs and shipping costs (in $) are shown in the following initial transportation method tableau. For example, the shipping cost from Plant 1 to Warehouse A is $17 per unit.

-Use the information in Table 13.9. What can be said about a plan that ships 200 units from 1 to A, 100 units from 1 to B, 100 units from 2 to B, 300 units from 2 to C, and 250 units from 3 to D?

A) It is not feasible in terms of plant capacities.
B) It is not feasible in terms of satisfying warehouse demands.
C) It is feasible, but not the least-cost allocation pattern.
D) It is the optimal solution.