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Customer 1 Customer 2 Customer 3 Customer 4

Machine 1 $ 14.00 $ 16.00 $ 12.00 $ 14.00


Machine 2 $ 15.00 $ - $ 13.00 $ 20.00
Machine 3 $ 4.00 $ 7.00 $ 10.00 $ 6.00

Customer 1 Customer 2 Customer 3 Customer 4


Machine 1 0 0 0 1
Machine 2 1 0 1 0
Machine 3 0 1 0 0
Total received 1 1 1 1
<= <= <= <=
1 1 1 1

Variables:
We call Machines are 1,2,3 and Customers are A,B,C,D,E.
We have variables below:
X1A: production cost from Machine 1 to Customer 1
X1B: production cost from Machine 1 to Customer 2
X1C: production cost from Machine 1 to Customer 3
X1D: production cost from Machine 1 to Customer 4
X1E: production cost from Machine 1 to Customer 5

X2A: production cost from Machine 2 to Customer 1


X2B: production cost from Machine 2 to Customer 2
X2C: production cost from Machine 2 to Customer 3
X2D: production cost from Machine 2 to Customer 4
X2E: production cost from Machine 2 to Customer 5

X3A: production cost from Machine 3 to Customer 1


X3B: production cost from Machine 3 to Customer 2
X3C: production cost from Machine 3 to Customer 3
X3D: production cost from Machine 3 to Customer 4
X3E: production cost from Machine 3 to Customer 5

Constraints:
Supply from Machine 1 X1A+ X1B + X1C +X1D + X1E= 2
from Machine 2 X2A+ X2B + X2C +X2D + X2E= 2
from Machine 3 X3A+ X3B + X3C +X3D + X3E = 1
Demand for Customer 1 X1A + X2A + X3A <= 1
for Customer 2 X1B + X2B + X3B <= 1
for Customer 3 X1C + X2C + X3C <= 1
for Customer 4 X1D + X2D + X3D <= 1
for Customer 5 X1E + X2E + X3E <= 1
X2B = 0

Objectives
MinCost = 14X1A + 16X1B + 12X1C + 14X1D + 15X1E
+ 15X2A + 0X2B + 13X2C + 20X2D + 18X2E
+ 4X2A + 7X2B + 10X2C + 6X2D + 8X2E

Results:
The minimum total cost for this operation is $64 per hour

Conclusions:
In order to reach the optimal cost:
Machine 1 will transport paper loads to Customer 4, Customer 5
Machine 2 will transport paper loads to Customer 1, Customer 3
Machine 3 will transport paper loads to Customer 2
Customer 5
$ 15.00
$ 18.00
$ 8.00

Customer 5 Shipped Limit


1 2 = 2
0 2 = 2
0 1 = 1
1
<= Total Cost
1 $ 64.00

D + X1E= 2
D + X2E= 2
D + X3E = 1

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