Transportation Problem – Stepping Stone

1. The RSV Gravel Supply Company has received a contract to supply gravel to three new road projects
located in three different locations. Project A needs 174 truck loads, project B, 204 truckloads and
project C, 143.
The company has three gravel warehouses located in three different places. Warehouse 1 has 158
truckloads available, warehouse 2 has 184 and warehouse 3 has 179. The cost of transportation from
the warehouse to the projects are: from warehouse 1 to project A,B,C; P4, P8 and P8 per truckload,
respectively. From ware house 2: P16, P24, P16 and from warehouse 3: P8, P16, and P24, respectively.
The objective is to design a plan of distribution that will minimize the cost of transportation.

Decision: Transport 158 truckload from warehouse 1 to project B, 41 truck loads from warehouse 2 to
project a, 143 trauck loads from warehouse 2 to project c, 133 truckloads from warehouse 3 to project a
and 46 truckloads from warehouse 3 to project b to minimize cost at P6,008

2. Fill out the initial table below and use the Stepping Stone Method to find the entries of the
subsequent tables. Write the decision and the minimum cost.

A B
3 2
5
5
2 7
10

2 6
15

18 12

3. A concrete company transports concrete from three plants, 1, 2 and 3, to three construction sites, A,
B and C.

The plants are able to supply the following numbers of tons per week as well as the requirement in the
site per week

Plant Capacity Construction Site Requirement

1 300 A 200
2 200 B 200
3 300 C 300

Cost

To Site A Site B Site C

From
Plant 1 4 3 8
Plant 2 7 5 9
 Plant 3 4 5 5

Determine the plan of distribution that will minimize the cost.