Regional Demand At SportStuff Growth rate 0.

8
Zone Demand (2000) Demand (2003)
Northwest 320,000 1,866,240
Southwest 200,000 1,166,400
Upper Midwest 160,000 933,120
Lower Midwest 220,000 1,283,040
Northeast 350,000 2,041,200
Southeast 175,000 1,020,600
Fixed and Variable Costs of Potential Warehouses
Fixed Cost Variable Cost Fixed Cost Variable Cost
Seattle 300,000 $ 0.20 $ 500,000 $ 0.20 $
Denver 250,000 $ 0.20 $ 420,000 $ 0.20 $
St. Louis 220,000 $ 0.20 $ 375,000 $ 0.20 $
Atlanta 220,000 $ 0.20 $ 375,000 $ 0.20 $
Philadelphia 240,000 $ 0.20 $ 400,000 $ 0.20 $
UPS Charges per Shipment (4 units)
Location Northwest Southwest Upper Midwest Lower Midwest Northeast Southeast
Seattle 2.00 $ 2.50 $ 3.50 $ 4.00 $ 5.00 $ 5.50 $
Denver 2.50 $ 2.50 $ 2.50 $ 3.00 $ 4.00 $ 4.50 $
St. Louis 3.00 $ 3.00 $ 2.50 $ 2.50 $ 3.00 $ 3.50 $
Atlanta 4.00 $ 4.00 $ 3.00 $ 2.50 $ 3.00 $ 2.50 $
Philadelphia 4.50 $ 5.00 $ 3.00 $ 3.50 $ 2.50 $ 4.00 $
Small Warehouse Large Warehouse
Location
Quantity Shipped and Warehouse Size
Location Northwest Southwest Upper Midwest Lower Midwest Northeast Southeast
Seattle 1,866,240 1,166,400 933,120 0 0 0
Denver 0 - 0 0 0 -
St. Louis 0 0 0 1,283,040 2,041,200 1,020,600
Atlanta - 0 0 0 0 0
Philadelphia - 0 0 0 0 0
Demand 1866240 1166400 933120 1283040 2041200 1020600
Constraints
Demand
Northwest Southwest Upper Midwest Lower Midwest Northeast Southeast
(0) (0) 0 - - -
Capacity
Seattle 34,240
Denver (0)
St. Louis 3,655,160
Atlanta (0)
Philadelphia (0)
Cost
Transportation 5,704,425 $
Fixed 1,250,000 $
Variable 1,662,120 $
Inventory
Seattle 1,194,853 $
Denver 1 $
St. Louis 1,250,657 $
Atlanta 1 $
Philadelphia 1 $
Total 11,062,057 $
Small Warehouse Large Warehouse Quantity
0 1 3,965,760
0 0 0
0 2 4,344,840
0 0 0
0 0 0