Using the map and annual volumes shown next to each location,what is the BEST location for a central warehouse that can be used to service all of the locations?

Question

Quizplus · Accepted Answer

The best location for a central warehouse would be one that minimizes the total transportation cost, which is the sum of the distances between the warehouse and each location multiplied by their respective annual volumes. 
Calculating the total transportation cost for each option: 
- Option A: (2,3) -> 3 + 7 + 9 + 4 + 10 = 33 
- Option B: (3,2) -> 2 + 8 + 7 + 9 + 7 = 33 
- Option C: (3,4) -> 4 + 6 + 6 + 9 + 9 = 34 
- Option D: (4,3) -> 5 + 10 + 5 + 8 + 5 = 33

Option B has the same total transportation cost as options A and D, but it is located closer to the center of gravity of the locations, which reduces the average distance traveled and can result in lower transportation costs. Therefore, option B is the best choice for a central warehouse.

Using the Map and Annual Volumes Shown Next to Each