Consider the transportation problem and its optimal solution in the tables below.The cell Source 3 - Destination 3 is currently empty.What would be the change in the total shipping cost if the largest possible amount were shipped using that route,leaving all the supply and demand conditions unchanged?
A)0
B)fifty units
C)a decrease of $9
D)an increase of $450
E)an increase of $630

Question

Consider the transportation problem and its optimal solution in the tables below.The cell Source 3 - Destination 3 is currently empty.What would be the change in the total shipping cost if the largest possible amount were shipped using that route,leaving all the supply and demand conditions unchanged? 
A)0 
B)fifty units 
C)a decrease of $9 
D)an increase of $450 
E)an increase of $630

Quizplus · Accepted Answer

To use the source 3 - destination 3 route, we need to ship 30 units (the available supply at source 3) to satisfy the demand at destination 3. The cost of shipping one unit on this route is $15, so the total cost of shipping 30 units is 30 x $15 = $450.

Therefore, if we ship the largest possible amount using this route, the total shipping cost will increase by $450. The correct choice is D.

Consider the Transportation Problem and Its Optimal Solution in the Tables