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Problem -
Find an initial solution to the following transportation problem.
From
To
Supply
Los Angeles
Calgary
Panama City
Mexico City
$6
$18
$8
100
Detroit
$17
$13
$19
60
Ottawa
$20
$10
$24
40
Demand
50
80
70
a) Use the northwest-corner method. What is its total cost?
b) Use the intuitive lowest-cost approach. What is its total cost?
c) Using the stepping-stone method, and find the optimal solution. Compute the total cost.
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