Transportation -

appendix

F. M. Kapepiso
Exercise 1- Suggested using MODI method
Initial solution Northwest method

To P1 P2 P3 P4 Supply Uj
From
F1 4 1 6 7 500 0
300 200 +3 +7
F2 6 5 7 3 600 4
-2 200 400 -1

F3 3 6 8 5 900 5
-6 0 100 800

Demand 300 400 500 800 2000

Vj 4 1 3 0
Total cost= 10000
First modified allocation

To P1 P2 P3 P4 Supply Uj
From
F1 4 1 6 7 500 0
200 300 +3 +1
F2 6 5 7 3 600 4
-2 100 500 -7

F3 3 6 8 5 900 -1
100 +6 +6 800

Demand 300 400 500 800 2000

Vj 4 1 3 6
Total cost=9400
Second modified allocation

To P1 P2 P3 P4 Supply Uj
From
F1 4 1 6 7 500 0
100 400 -4 +1
F2 6 5 7 3 600 -3
+5 +7 500 100

F3 3 6 8 5 900 -1
200 +6 -1 700

Demand 300 400 500 800 2000

Vj 4 1 10 6
Total cost=8700
Third modified allocation

To P1 P2 P3 P4 Supply Uj
From
F1 4 1 6 7 500 0
+4 400 100 +5
F2 6 5 7 3 600 1
+5 +3 400 200

F3 3 6 8 5 900 3
300 +2 -1 600

Demand 300 400 500 800 2000

Vj 0 1 6 2
Total cost=8300
Final table

To P1 P2 P3 P4 Supply Uj
From
F1 4 1 6 7 500 0
+3 400 100 +4
F2 6 5 7 3 600 0
+5 +4 +1 600

F3 3 6 8 5 900 2
300 +3 400 200

Demand 300 400 500 800 2000

Vj 1 1 6 3
Total cost=7900

Solution is optimal because the net cost index is positive in respect of all the vacant cells,
the solution cannot be improved.
Thanks