allons of deionized water from each wholesaler to each distribution center is shown in the following table: Question Viewer a. Which of the following statements regarding setting up the tableau for the optimal solution for this problem is true? B. The sum of supply capacities is greater than the sum of demands, so a dummy distribution center is needed. C. The sum of supply capacities is less than the sum of demands, so a dummy wholesaler is needed. b. What is the total cost of the solution? The optimal cost is $ ((Enter your response rounded to the nearest dollar.) The Winston Company has four distribution centers (A, B, C, and D) that require 40,000, 70,000, 30,000, and 50,000 gallons of de-ionized water, respectively, per month for cleaning their long-haultrucks. Three de-ionized water wholesalers (1, 2, and 3) indicated their willingness to supply as many as 50,000, 70,000, and 70,000 gallons, respectively. The total cost (shipping plus price) ofgallons of de-ionized water from each wholesaler to each distribution center is shown in the following table:Question ViewerWholesaler123b. What is the total cost of the solution?A$1.40$1.30$1.50Distribution Centerс$1.40$1.50$1.50a. Which of the following statements regarding setting up the tableau for the optimal solution for this problem is true?The optimal cost is $ . (Enter your response rounded to the nearest dollar.)B$1.80$1.70$1.40A. The sum of supply capacities equals the sum of demands, so no dummy wholesaler or distribution center is needed. The capacity is fully utilized and the demand is fully satisfied.B. The sum of supply capacities is greater than the sum of demands, so a dummy distribution center is needed.C. The sum of supply capacities is less than the sum of demands, so a dummy wholesaler is needed.D$1.90$1.60$1.80

Here, we don't need any dummy columns or dummy rows, as the total supply is equal to the total…

a. Which of the following statements regarding setting up the tableau for the optimal solution for this problem is true? OA. The sum of supply capacities equals the sum of demands, so no dummy wholesaler or distribution center is needed. The capacity is fully utilized and the demand is fully satisfied. OB. The sum of supply capacities is greater than the sum of demands, so a dummy distribution center is needed. OC. The sum of supply capacities is less than the sum of demands, so a dummy wholesaler is needed. b. What is the total cost of the solution? The optimal cost is $ (Enter your response rounded to the nearest dollar.)

a. Which of the following statements regarding setting up the tableau for the optimal solution for this problem is true? OA. The sum of supply capacities equals the sum of demands, so no dummy wholesaler or distribution center is needed. The capacity is fully utilized and the demand is fully satisfied. OB. The sum of supply capacities is greater than the sum of demands, so a dummy distribution center is needed. OC. The sum of supply capacities is less than the sum of demands, so a dummy wholesaler is needed. b. What is the total cost of the solution? The optimal cost is $ (Enter your response rounded to the nearest dollar.)

Purchasing and Supply Chain Management

6th Edition

ISBN:9781285869681

Author:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson

Publisher:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson

ChapterC: Cases

Section: Chapter Questions

Problem 5.1SC: Scenario 3 Ben Gibson, the purchasing manager at Coastal Products, was reviewing purchasing...

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Scenario 3 Ben Gibson, the purchasing manager at Coastal Products, was reviewing purchasing expenditures for packaging materials with Jeff Joyner. Ben was particularly disturbed about the amount spent on corrugated boxes purchased from Southeastern Corrugated. Ben said, I dont like the salesman from that company. He comes around here acting like he owns the place. He loves to tell us about his fancy car, house, and vacations. It seems to me he must be making too much money off of us! Jeff responded that he heard Southeastern Corrugated was going to ask for a price increase to cover the rising costs of raw material paper stock. Jeff further stated that Southeastern would probably ask for more than what was justified simply from rising paper stock costs. After the meeting, Ben decided he had heard enough. After all, he prided himself on being a results-oriented manager. There was no way he was going to allow that salesman to keep taking advantage of Coastal Products. Ben called Jeff and told him it was time to rebid the corrugated contract before Southeastern came in with a price increase request. Who did Jeff know that might be interested in the business? Jeff replied he had several companies in mind to include in the bidding process. These companies would surely come in at a lower price, partly because they used lower-grade boxes that would probably work well enough in Coastal Products process. Jeff also explained that these suppliers were not serious contenders for the business. Their purpose was to create competition with the bids. Ben told Jeff to make sure that Southeastern was well aware that these new suppliers were bidding on the contract. He also said to make sure the suppliers knew that price was going to be the determining factor in this quote, because he considered corrugated boxes to be a standard industry item. Is Ben Gibson acting legally? Is he acting ethically? Why or why not?
Scenario 3 Ben Gibson, the purchasing manager at Coastal Products, was reviewing purchasing expenditures for packaging materials with Jeff Joyner. Ben was particularly disturbed about the amount spent on corrugated boxes purchased from Southeastern Corrugated. Ben said, I dont like the salesman from that company. He comes around here acting like he owns the place. He loves to tell us about his fancy car, house, and vacations. It seems to me he must be making too much money off of us! Jeff responded that he heard Southeastern Corrugated was going to ask for a price increase to cover the rising costs of raw material paper stock. Jeff further stated that Southeastern would probably ask for more than what was justified simply from rising paper stock costs. After the meeting, Ben decided he had heard enough. After all, he prided himself on being a results-oriented manager. There was no way he was going to allow that salesman to keep taking advantage of Coastal Products. Ben called Jeff and told him it was time to rebid the corrugated contract before Southeastern came in with a price increase request. Who did Jeff know that might be interested in the business? Jeff replied he had several companies in mind to include in the bidding process. These companies would surely come in at a lower price, partly because they used lower-grade boxes that would probably work well enough in Coastal Products process. Jeff also explained that these suppliers were not serious contenders for the business. Their purpose was to create competition with the bids. Ben told Jeff to make sure that Southeastern was well aware that these new suppliers were bidding on the contract. He also said to make sure the suppliers knew that price was going to be the determining factor in this quote, because he considered corrugated boxes to be a standard industry item. As the Marketing Manager for Southeastern Corrugated, what would you do upon receiving the request for quotation from Coastal Products?
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Small Potatoes is a family-operated seed business that has grown rapidly. Small Potatoes specializes in supplying home gardeners with the finest seeds and gardening supplies. Until now, the firm has done all its business by placing ads in gardening and health magazines, and taking orders using a toll-free telephone number. Now, the family has decided to establish a website and sell online, but there is some disagreement about the best way to proceed. Some say it would be better to develop the site on their own, and Betty Lou Jones, a recent computer science graduate, believes she can handle the task. Others, including Sam Jones, Betty’s grandfather, feel it would be better to outsource the site and focus on the business itself. Suppose the family asked for your opinion. What would you say? What additional questions would you ask?
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