WALJAT COLLEGE OF APPLIED

SCIENCES
In academic partnership with
BIRLA INSTITUTE OF TECHNOLOGY

DEPARTMENT OF MANAGEMENT

COURSE ASSIGNMENT

SUBMITTED BY:
STUDENT NAME:
ROLL NUMBER: COURSE: SEMESTER:
SUBJECT CODE & NAME:
SESSION & ACADEMIC YEAR: MO-2020
SUBMISSION DATE: 08-11-2020 MAXIMUM MARKS:

SUBMITTED TO:
FACULTY NAME: DR. PRABAL DATTA
1- Determine the initial basic feasible solution for the transportation problem using:

i) North-West Corner.

D1 D2 D3 D4 Capacity
O1 11 30
20 20
7 8 0 50 20
O2 21 16 5
10 12 0 40 35
30
O3 8 12 18 9 40 0 70 30
Demand 30 25 35 40 30

Total Cost:

O1 ( 11×30 ) + ( 20 × 20) = 330 + 400 =730

O2 (16 × 5 ) + (10 × 35) = 80 + 350 = 430
O3 ( 9 × 40 ) + (0 × 30 ) = 360 + 0 =360

Total : 1520

ii) ii) Matrix Minima

D1 D2 D3 D4 Capacity
O1 11 20 7 35
8 15
0 50 15 0

30
O2 21 16 10 12 10 0 40 10

O3 8 30
12 15
18 9 25 0 70 40 15

0 10 0 25 0
Demand 30 25 35 40 30

Total Cost:

O1 ( 7×35 ) + ( 8 × 15) = 365

O2 (12 × 10 ) + (0 × 30) = 120
O3 ( 8 × 30 ) + (12 × 15 ) + (9 × 25 ) = 645

Total : 1130

iii) iii) Vogel’s Method.

 D1 D2 D3 D4 Capacity Row Penalty
35 15 0 15 0 7 1 1 8 8
O1 11 20 7 8 50
30 10 2 2 12
O2 21 16 10 12 10 0 40 10

30 15 25 0 40 15 8 1 1 9 9
O3 8 12 18 9 70
0 10 0 25 0
Demand 30 25 35 40 30

Column 3 4 3 1 0
Penalty 3 4 3 1 -
3 - 3 1 -
- - 3 1 -
- - - 1 -

Total Cost:

O1 ( 7×35 ) + ( 8 × 15) =365

O2 (12 × 10 ) + (0 × 30 ) = 120
O3 ( 8 × 30 ) + (12 × 25 ) ( 9×15 ) =675

Total : 1160

2-Solve the assignment problem represented by the following matrix.

I A

II C

III B

IV D

Total cost is 10+5+20+20=55

A B C D Minimum raw element

I 10 25 15 20 10
II 15 30 5 15 5
III 35 20 12 24 12
IV 17 25 24 20 7
Step 1: Reduce raw element with Minimum raw element.

A B C D
I 0 15 5 10
II 10 25 0 10
III 23 8 0 12
IV 0 8 7 3
Minimum row element 0 8 0 3

Step 2: Reduce raw element with Minimum raw element.

A B C D
I 0 17 5 7
II 10 7 0 7
III 23 0 0 9
IV 0 0 7 0

Step 3: show the horizontal & vertical line to strike all zero Minimum row element.

Its four her, which equal to the number of column or rows

A B C D
I 0 17 5 7
II 10 7 0 7
III 23 0 0 9
IV 0 0 7 0

Step 4: when one row element is assigned , stike off corresponding column element .

A B C D
I 0 17 5 7
II 10 7 0 7
 III 23 0 0 9
IV 0 0 7 0

Allocated Solution is :

A B C D
I 0
II 0
III 0
IV 0

I A 10

II C 5

III B 20

IV D 20

So , total cost is 10+5+20+20=55

3- Find an Optimal Solution using MODI method.

D1 D2 D3 D4 Capacity
O1 19 30 50 10 7
O2 70 30 40 60 9
O3 40 8 70 20 18
Demand 5 8 7 14 34

Part A :Initial Feasible Solution.

We will use the North-West Corner Method to discover the first possible solution to the
following problem because no specific information is stated in the question:
Step 1:
D1 D2 D3 D4 Supply
O1 19 30 50 10 7
O2 70 30 40 60 9
O3 40 8 70 20 18
Demand 5 8 7 14

Total demand constraints = 4 in this case, and total supply restrictions = 3 in this case.

We compare the rim values for O1=7 and D1=5.

O1 D1 is allocated the smaller of the two, i.e. min(7,5) = 5.

This satisfies D1's whole requirement and leaves 7 - 5 = 2 units with O1.

D1 D2 D3 D4 Supply
(5)
O1 19 30 50 10 2
O2 70 30 40 60 9
O3 40 8 70 20 18
Demand 0 8 7 14

Step 2:
We compare the rim values for O1=2 and D2=8.

O1 D2 is allocated the smaller of the two, i.e. min(2,8) = 2.

This depletes O1's capacity, leaving 8 - 2 = 6 units with D2.

D1 D2 D3 D4 Supply
(5) (2)
O1 19 30 50 10 0
O2 70 30 40 60 9
 O3 40 8 70 20 18
Demand 0 6 7 14

Step 3:

We compare the rim values for O2=9 and D2=6.

O2 D2 is allocated the smaller of the two, i.e. min(9,6) = 6.

This satisfies the whole D2 need and leaves 9 - 6 = 3 units with O2.

D1 D2 D3 D4 Supply
(5) (2)
O1 19 30 50 10 0
(6)
O2 70 30 40 60 3
O3 40 8 70 20 18
Demand 0 0 7 14

Step 4:

We compare the rim values for O2=3 and D3=7.

O2 D3 is allocated the smaller of the two, i.e. min(3,7) = 3.

This depletes O2 capacity and leaves 7 - 3 = 4 units with D3.

D1 D2 D3 D4 Supply
(5) (2)
O1 19 30 50 10 0
(6) (3)
O2 70 30 40 60 0
O3 40 8 70 20 18
Demand 0 0 4 14

Step 5:

O3=18 and D3=4 rim values are compared.

O3 D3 is allocated the smaller of the two, i.e. min(18,4) = 4.

This satisfies the whole D3 need and leaves 18 - 4 = 14 units with O3.

D1 D2 D3 D4 Supply
(5) (2)
O1 19 30 50 10 0
(6) (3)
O2 70 30 40 60 0
(4)
O3 40 8 70 20 14
Demand 0 0 0 14

Step 6:

The O3=14 and D4=14 rim values are compared.

O3 D4 is given the smaller of the two, i.e. min(14,14) = 14.

D1 D2 D3 D4 Supply
(5) (2)
O1 19 30 50 10 0
(6) (3)
O2 70 30 40 60 0
(4) (14)
O3 40 8 70 20 14
Demand 0 0 0 14
As a result, we get the following initial viable solution:

D1 D2 D3 D4 Supply
(5) (2)
O1 19 30 50 10 0
(6) (3)
O2 70 30 40 60 0
(4) (14)
O3 40 8 70 20 14
Demand 0 0 0 14

Based on the original viable solution, the minimal total transportation cost =(195) + (302) +
(306) + (403) + (704) + (2014) =1015

Now, based on the viable solution, we will use MODI's technique, as described in Part B, to
determine the best solution.
PART B: Find Optimal Solution

The number of assigned cells = 6 in the derived first viable solution is equal to m + n - 1 = 3 + 4
- 1 = 6 This is a non-degenerate solution.

In the obtained initial feasible solution, the number of allocated cells = 6 is equal to m + n - 1 = 3
+4-1=6

∴ This solution is non-degenerate.

Step 1: Find ui and vj for all occupied cells(i,j), where cij=ui+vj

1. Substituting, u1=0, we get

2. C11 = u1+v1⇒v1=c11-u1⇒v1=19-0⇒v1=19

3. C12 = u1+v2⇒v2=c12-u1⇒v2=30-0⇒v2=30

4. C22 = u2+v2⇒u2=c22-v2⇒u2=30-30⇒u2=0

5. C23 = u2+v3⇒v3= c23-u2⇒v3=40-0⇒v3=40

6. C33 = u3+v3⇒u3=c33-v3⇒u3=70-40⇒u3=30

7. C34 = u3+v4⇒v4=c34-u3⇒v4=20-30⇒v4=-10

D1 D2 D3 D4 Supply ui
(5) (2)
O1 19 30 50 10 7 u1=0
(6) (3)
O2 70 30 40 60 9 u2=0
(4) (14)
O3 40 8 70 20 18 u3=30
Demand 5 8 7 14
vi V1=19 V2=30 V3=40 V4=-10

Step 2:

For every empty cells(i,j), find dij, where dij=cij-(ui+vj).

1. d13 = c13-(u1+v3) = 50-(0+40) =10

2. d14 = c14-(u1+v4) = 10-(0-10) = 20

3. d21 = c21-(u2+v1) = 70-(0+19)= 51

4. d24 = c24-(u2+v4) = 60-(0-10) = 70

5. d31 = c31-(u3+v1) = 40-(30+19) =-9

6. d32 = c32-(u3+v2) = 8-(30+30) = -52

we get:

D1 D2 D3 D4 Supply ui
(5) (2) (10) (20)
O1 19 30 5 10 7 u1=0
0
(51) (6) (3) (70)
O2 70 30 4 60 9 u2=0
0
(-9) (-52) (4) (14)
O3 40 8 7 20 18 u3=30
0
Demand 5 8 7 14
vi V1=19 V2=30 V3=40 V4=-10

Step 3:

Select the smallest negative number from all dij (opportunity cost) = d32 = [-52]. then create a
closed route using O3D2.

Closed path is O3D2→O3D3→O2D3→O2D2

As a result, the closed route and plus/minus sign allocation

D1 D2 D3 D4 Supply ui
(5) (2) (10) (20)
O1 19 30 5 10 7 u1=0
0
(51) (6) (3) (+) (70)
O2 70 30 4 60 9 u2=0
(-)
0
 (-9) (-52) (4) (14)
O3 40 8 7 20 18 u3=30
(+) (-)
0
Demand 5 8 7 14
vi V1=19 V2=30 V3=40 V4=-10

Step 4:

Minimum value assigned among all negative positions (-) on a closed route = 4

Subtraction of 4 from all (-) and addition of 4 to all (+)

D1 D2 D3 D4 Supply
(5) (2)
O1 19 30 50 10 7
(2) (7)
O2 70 30 40 60 9
(4) (14)
O3 40 8 70 20 18
Demand 5 8 7 14

Step 5:

Find ui and vj for all occupied cells(i,j), where cij=ui+vj

1. Substituting, v2=0, we get
2. c12 = u1+v2 ⇒ u1 = c12-v2 ⇒ u1 = 30-0 ⇒ u1=30
3. c11 = u1+v1 ⇒ v1 = c11-u1 ⇒ v1 = 19-30 ⇒ v1=-11
4. c22 = u2+v2 ⇒ u2 = c22-v2 ⇒ u2 = 30-0 ⇒ u2=30
5. c23 = u2+v3 ⇒ v3 = c23-u2 ⇒ v3 = 40-30 ⇒v3=10
6. c32 = u3+v2 ⇒ u3 = c32-v2 ⇒ u3 = 8-0 ⇒ u3=8
7. c34 = u3+v4 ⇒ v4 = c34-u3 ⇒ v4 =20-8 ⇒v4=12

D1 D2 D3 D4 Supply ui
(5) (2)
O1 19 30 50 10 7 u1=30
(2) (7)
O2 70 30 40 60 9 u2=30
(4) (14)
O3 40 8 70 20 18 u3=8
 Demand 5 8 7 14
vi V1=-11 V2=0 V3=10 V4=12

Step 6:

Find dij for all unoccupied cells(i,j), where dij=cij-(ui+vj)

1.d13 =c13-(u1+v3)=50-(30+10)=10
2.d14 =c14-(u1+v4)=10-(30+12)=-32
3.d21 =c21-(u2+v1)=70-(30-11)=51
4.d24 =c24-(u2+v4)=60-(30+12)=18
5.d31 =c31-(u3+v1)=40-(8-11)=43
6.d33 =c33-(u3+v3)=70-(8+10)=52
D1 D2 D3 D4 Supply ui
(5) (2) (10) (-32)
O1 19 30 50 10 7 u1=30
(51) (2) (7) (18)
O2 70 30 40 60 9 u2=30
(43) (4) (52) (14)
O3 40 8 70 20 18 u3=8
Demand 5 8 7 14
vi V1=-11 V2=0 V3=10 V4=12

Step 7:

Now choose the minimum negative value from all dij (opportunity cost) = d14 = [-32]
and draw a closed path from O1D4.
Closed path is O1D4→O1D2→O3D2→O3D4
Thus, Closed path and plus/minus sign allocation:

D1 D2 D3 D4 Supply ui
(5) (2) (10) (-32)
O1 19 30 50 10 7 u1=30
(-) (+)
(51) (2) (7) (18)
O2 70 30 40 60 9 u2=30
(43) (4) (52) (14)
O3 40 8 70 20 18 u3=8
(+) (-)
 Demand 5 8 7 14
vi V1=-11 V2=0 V3=10 V4=12

Step 8 :
Minimum assigned value among all negative positions (-) on a closed path = 2 Subtract 2 from
all (-) and add it to all (+).

D1 D2 D3 D4 Supply
(5) (2)
O1 19 30 50 10 7
(2) (7)
O2 70 30 40 60 9
(6) (12)
O3 40 8 70 20 18
Demand 5 8 7 14

Step 9:
Find ui and vj for all occupied cells(i,j), where cij=ui+vj
1. Substituting, u1=0, we get
2.c11=u1+v1⇒v1=c11-u1⇒v1=19-0⇒v1=19
3.c14=u1+v4⇒v4=c14-u1⇒v4=10-0⇒v4=10
4.c34=u3+v4⇒u3=c34-v4⇒u3=20-10⇒u3=10
5.c32=u3+v2⇒v2=c32-u3⇒v2=8-10⇒v2=-2
6.c22=u2+v2⇒u2=c22-v2⇒u2=30+2⇒u2=32
7.c23=u2+v3⇒v3=c23-u2⇒v3=40-32⇒v3=8

D1 D2 D3 D4 Supply ui
(5) (2)
O1 19 30 50 10 7 u1=0
(2) (7)
O2 70 30 40 60 9 u2=32
(6) (12)
O3 40 8 70 20 18 u3=10
Demand 5 8 7 14
 vi V1=19 V2=-2 V3=8 V4=10

Step 10:

Find dij for all unoccupied cells(i,j), where dij=cij-(ui+vj)

1.d12=c12-(u1+v2)=30-(0-2)=32

2.d13=c13-(u1+v3)=50-(0+8)=42

3.d21=c21-(u2+v1)=70-(32+19)=19

4.d24=c24-(u2+v4)=60-(32+10)=18

5.d31=c31-(u3+v1)=40-(10+19)=11
6.d33=c33-(u3+v3)=70-(10+8)=52

D1 D2 D3 D4 Supply ui
(5) (32) (42) (2)
O1 19 30 50 10 7 u1=0
(19) (2) (7) (18)
O2 70 30 40 60 9 u2=32
(11) (6) (52) (12)
O3 40 8 70 20 18 u3=10
Demand 5 8 7 14
vi V1=-19 V2=-2 V3=8 V4=10

Since dij≥0.

As a result, the following is the ultimate optimum solution:

D1 D2 D3 D4 Supply
(5) (2)
O1 19 30 50 10 7
(2) (7)
O2 70 30 40 60 9
(6) (12)
O3 40 8 70 20 18
Demand 5 8 7 14
As a result, the minimal total transportation cost is =(19×5) + (10×2) + (30×2) +
(40×7) + (8×6) + (20×12) = 743
4- Solve the minimal assignment problem whose cost matrix is given below. Also, give all
possible optimal solutions.

P1 P2 P3 P4
I 2 3 4 5
II 4 5 6 7
III 7 8 9 8
IV 3 5 8 4

Person Actual
P1 P2 P3 P4
available assigned
I 1 0 0 0 1 1

II 0 1 0 0 1 1

III 0 0 1 0 1 1

IV 0 0 0 1 1 1

available 1 1 1 1 Total 20
Actual
1 1 1 1
assigned

The optimal assignment in blue.

The optimal cost is shown in orange = 20

5-

Let x, y, and z represent the number of P, Q, and R explosives, respectively.

P requires 3 kg A, 2 kg B, and 2 kg C; Q requires 1 kilogram A, 4 kg B, and 3 kg C; and R

requires 6 kg A, 2 kg B, and 3 kg C.

Explosives on hand:

A: maximum 600 kg; B: minimum 480 kg; C: maximum 540 kg

Constraints:

3 x + 1y + 6z =600 Explosive A

2x + 4y + 2z = 480 Explosive B

2x + 3y + 3z = 540 explosive C

x1, x2, x3 s1, s2, A1, A2 ≥ 0.

Solution by simplex method The initial basic feasible solution: s1 = 600, A1 = 480, A2 = 540

Max Z = 3P + Q + 6R +OS1+OS2+OS3

Solution by simplex method The initial basic feasible solution: s1 = 600, A1 = 480, A2 = 540

Ci 3 3 4 0 0 0
B CB XB P Q R S1 S2 S3 Min Ratio
xB /R
S1 0 600 3 1 -6 1 0 0 600\6=100
S2 0 480 2 4 2 0 1 0 480\2=240
S3 0 540 2 3 3 0 0 1 540\3=180
Z=0 Zi 0 0 0 0 0 0
Zi-Ci -3 -3 -6 0 0 0

Here, the Minimum Zj-Cj is -6, so the entering variable is R and the minimum ratio is 100, so the
exiting variable is S1.

The pivotal element will be 6.

As the pivotal element is 6, the elements of Row 1 will be divided by 6.

New row 2 = Row 2 (old) - 2 Row 1 (New)

New row 3 = Row 3 (old) - 3 Row 1 (New)

Ci 2 3 6 0 0 0
B C XB P Q R S1 S2 A1 Min Ratio
B xB /R
R 6 100 0.75 0.25 1 0.25 0 0 600\1
S2 0 190 0.5 3.5 0 -0. 5 1 1 480\6
S3 0 110 -0,25 -2.24 0 -0.75 0 0.4444 540\3
Z=60 Zi 3 1 6 1 0 0
0
Zi-Ci 0 -2 0 1 0 0
 Minimum Zj-Cj = -2, so the entering variable will be Q and exiting will be S3. Pivotal element will be 2.25

New Row 3 = Old Row 3/2.25

New Row 1 = Old row 1 - 0.25 New Row 3

New Row 2 = Old Row 2 - 3.5 New Row 3

Ci 3 3 6 0 0 0
B CB XB P Q R S1 S2 S3 Min Ratio
xB /R
R 6 247.7778 0.7778 0 1 0.3333 0 -0.1111 247.7778\0.7778=318.56
S2 0 18.8889 (0.8889) 0 0 0.6667 1 -1.5556 18.8889\0.8889 =21.25
S3 3 48.8889 -0.1111 1 0 -0.3333 0 0.4444
Z=697.7778 Zi 2.7778 3 6 0.3333 0 0.8889
Zi-Ci - 0 0 0.3333 0 0.8889
0.22222

Entering variable P and Exiting variable is S2.

Pivotal element = 0.8889

New Row 2 = Old Row 2/0.8889

New Row 1 = Old row 1 - 0.7778 New Row 2

New Row 3 = Old Row 3 + 0.1111 New Row 2

Ci 3 3 6 0 0 0
B CB XB P Q R S1 S2 S3

R 6 242.25 0 0 1 -0.25 -0.875 1.25

S2 3 21.25 1 0 0 0.75 1.125 -1.75
S3 3 21.25 0 1 0 -0.25 0.125 0.25
Z=702.5 Zi 3 3 6 0.5 0.25 0.5
Zi-Ci 0 0 0 0.5 0.25 0.5

All Zj-Cj are positive. Hence, this is the optimum solution.

P = 242.25

Q = 51.25

R = 121.25
Maximum Z = 702.5

6-
The profit matrix is derived by this equation :

Profit =Sale Price –Production Cost –Raw material –Transportation cost

Sale Depots S1 S2 S3 Availability

Factories

F1 6 6 1 10

F2 -2 -2 -4 150

F3 3 2 2 50

F4 8 5 3 100

Requirement 80 120 150 310

350
Total Requirements =80+120 +150 = 350

Total Availabilities =10 +150 +50 +100 =310

Dummy factoty to product 350-310 = 40 Units

Sale Depots S1 S2 S3 Availability

Factories
 F1 6 6 1 10

F2 -2 -2 -4 150

F3 3 2 2 150

F4 8 5 3 100

(Dummy ) F5 0 0 0 40

Requirement 80 120 150 350

Relative lose matrix :

Sale Depots S1 S2 S3 Availability

Factories

F1 8-6=2 2 7 10

F2 8-(-2)=10 10 12 150

F3 5 6 6 150

F4 0 3 5 100

(Dummy ) F5 8 8 8 40

Requirement 80 120 150 350

Vogel’s method is now applied to derived the initial feasible solution as shown in following
table:

Sale Depots S1 S2 S3 Availability

Factories

F1 2 2 7 10
10
10
F2 40 10 110 12 150
 F3 5 6 6 150
50
F4 0 3 5 100
80 20
(Dummy ) F5 8 8 8 40

Requirement 80 120 150 350

Sale Depots S1 S2 S3 Availability Raw Number

Factories

F1 2 2 7 10
10 u1=2
10
F2 40 10 110 12 150 u2=10
F3 5 6 6 150
50 u3=6
F4 0 3 5 100
80 20 u4=3
(Dummy ) F5 8 8 8 40 u5=0
Requirement 80 120 150 350

Column Number v1=-3 v1=0 v1=2

Since the cell (f3,S3) has the negative opportunity cost -2 ,we find that 50 units should (f2,S3),
(f3,S2), (f3,S3) this yield the new solution as given in the following table ,

Sale Depots S1 S2 S3 Availability Raw Number

Factories

F1 2 2 7 10
3 10 3 u1=4
10
F2 3 90 10 110 12 150 u2=12
F3 5 6 6 150
4 50 u3=6
F4 0 3 5 100
80 20 2 u4=5
(Dummy ) F5 8 8 8 40
5 2 40 u5=8
Requirement 80 120 150 350
 Column Number v1=-5 v1=-2 v1=0

This solution given above shown in this table is optimum since there is no negative opportunity
cost in the unoccupied celss.