The Martin Company is in the process of planning for new production facilities and developing a more efficient distribution system design. At present, it has one plant at St.Louis with a capacity of 30000 units. Because of increased demand, management is considering four potential new plant sites: Detroit, Denver, Toledo and Kansas City. The below table summarizes the projected plant capacities, the cost per unit of shipping from each plant to each destination, and the demand forecasts over a 1-year planning horizon.
This solution contains explanations and analysis of data with regards to the transportation model using the minimization method (see attachments).