Don Levine Corporation is considering adding an additional plant to its three existing facilities in Decatur, Minneapolis, and Carbondale. Both St. Louis and East St. Louis are being considered. Evaluating only the transportation costs per unit as shown in the tables below, which site is best?FROM EXISTING PLANTSTODECATURMINNEAPOLISCARBONDALEDEMANDBlue Earth$20$17$21250Ciro252720200Des Moines222522350Capacity300200150 FROM PROPOSED PLANTSTOEAST ST. LOUIS ST. LOUISBlue Earth$29$27Ciro3028Des Moines3031Capacity150150

Answered: Don Levine Corporation is considering…

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter2: Introduction To Spreadsheet Modeling

Section: Chapter Questions

Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...

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Don Levine Corporation is considering adding an additional plant to its three existing facilities in Decatur, Minneapolis, and Carbondale. Both St. Louis and East St. Louis are being considered. Evaluating only the transportation costs per unit as shown in the tables below, which site is best?

FROM EXISTING PLANTS
TO	DECATUR	MINNEAPOLIS	CARBONDALE	DEMAND
Blue Earth	$20	$17	$21	250
Ciro	25	27	20	200
Des Moines	22	25	22	350
Capacity	300	200	150

FROM PROPOSED PLANTS
TO	EAST ST. LOUIS	ST. LOUIS
Blue Earth	$29	$27
Ciro	30	28
Des Moines	30	31
Capacity	150	150

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