Business, 13.03.2020 21:43 hcarcel8287

A company needs to locate three departments (X, Y, and Z) in the three areas (I, II, and III) of a new facility. They want to minimize interdepartmental transportation costs, which are expected to be $.50 per load meter moved. An analyst has prepared the following flow and distance matrices:

Distances (meters)
From/To I II III
I - 10 20
II - 10
III -
Flows (loads per week)
From/To X Y Z
X - 0 80
Y 30 - 150
Z 100 130 -

1. What are total weekly costs for an optimum layout?

Multiple Choice

$2,600

$6,200

$3,600

$8,200

$7,200

2.

Which layout will minimize the total distance loads will be moved each week?

Multiple Choice

X in 1; Y in 2; Z in 3

Y in 1; X in 2; Z in 3

X in 1; Z in 2; Y in 3

Z in 1; X in 2; Y in 3

Z in 1; Y in 2; X in 3

Answers: 2

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A company needs to locate three departments (X, Y, and Z) in the three areas (I, II, and III) of a n...