Consider the transportation problem and its initial solution in the table below.What is the improvement index for the empty cell Source 1 - Destination 3?
A)0
B)-14
C)-23
D)-70
E)115

Question

Consider the transportation problem and its initial solution in the table below.What is the improvement index for the empty cell Source 1 - Destination 3? 
A)0 
B)-14 
C)-23 
D)-70 
E)115

Quizplus · Accepted Answer

The improvement index is calculated as the difference between the lowest cost in the row (5) and the lowest cost in the column (19) for the empty cell (source 1 - destination 3). 
Therefore, Improvement index = 5 - 19 = -14.

To find the best choice, we need to identify the cell with the highest improvement index. In this case, it is the empty cell (source 1 - destination 3) with an improvement index of -14. 
We can then allocate as much as possible to this cell and repeat the iteration until no further improvement is possible.

Consider the Transportation Problem and Its Initial Solution in the Table