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Published on: 13/05/2022
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Take MCQ Business Maths and Statistics Test

1.
Determine an initial basic feasible solution of the following transportation problem by north west corner method

2.
Consider the following pay-off matrix
| Alternative | Pay – offs (Conditional events) | |||
| A1 | A2 | A3 | A4 | |
| E1 | 7 | 12 | 20 | 27 |
| E2 | 10 | 9 | 10 | 25 |
| E3 | 23 | 20 | 14 | 23 |
| E4 | 32 | 24 | 21 | 17 |
Using minmax principle, determine the best alternative.
3.
Consider the following pay-off (profit) matrix Action States
| Action | States | |||
| (s1) | (s2) | (s3) | (s4) | |
| A1 | 5 | 10 | 18 | 25 |
| A2 | 8 | 7 | 8 | 23 |
| A3 | 21 | 18 | 12 | 21 |
| A4 | 30 | 22 | 19 | 15 |
Determine best action using maximin principle.
4.
Determine how much quantity should be stepped from factory to various destinations for the following transportation problem using the least cost method

Cost are expressed in terms of rupees per unit shipped.
5.
Determine an initial basic feasible solution to the following transportation problem using North West corner rule.

Here Oi and Dj represent ith origin and jth destination.
1.
First allocation:
Second allocation:
Third allocation:
Fourth allocation:
Fifth allocation:
Final allocation:
The transportation cost is
\( = (30 \times 6)+(5 \times 5)+(28 \times 11)+ (7 \times 9)+(25 \times 7)+(25 \times 13) \)
= 180 + 25 + 308 + 63 + 175 + 325
= Rs. 1076
2.
| Alternative | Pay – offs (Conditional events) | Minimum pay off | |||
| A1 | A2 | A3 | A4 | ||
| E1 | 7 | 12 | 20 | 27 | 27 |
| E2 | 10 | 9 | 10 | 25 | 25 |
| E3 | 23 | 20 | 14 | 23 | 23 |
| E4 | 32 | 24 | 21 | 17 | 32 |
min( 27, 25, 23, 32) = 23. Since the minimum cost is 23, the best alternative is E3 according to minimax principle.
3.
| Action | States | Minimum | |||
| (s1) | (s2) | (s3) | (s4) | ||
| A1 | 5 | 10 | 18 | 25 | 5 |
| A2 | 8 | 7 | 8 | 23 | 7 |
| A3 | 21 | 18 | 12 | 21 | 12 |
| A4 | 30 | 22 | 19 | 15 | 15 |
Max (5,7,12,15) = 15 ஃ Action A4 is the best
4.
Total Capacity = Total Demand
\(\therefore\) The given problem is balanced transportation problem.
Hence there exists a feasible solution to the given problem.
Given Transportation Problem is

First Allocation:

Second Allocation:

Third Allocation:

Fourth Allocation:

Fifth Allocation:

Sixth Allocation:

Transportation schedule :
T⟶H,T⟶P,B⟶C,B⟶H,M⟶H,M⟶K
The total Transportation cost = ( 5×8) + (25×5)+ (35×5) + (5×11)+ (18×9) + (32×7)
= 40+125+175+55+162+224
= Rs.781
5.
Given transportation table is

Total Availability = Total Requirement
Therefore the given problem is balanced transportation problem.
Hence there exists a feasible solution to the given problem.
First allocation :

Second allocation :

Third Allocation :

Fourth Allocation :

Fifth allocation :

Final allocation :

Transportation schedule : O1⟶D1, O1⟶D2, O2⟶D2, O2⟶D3, O3⟶D3,O3⟶D3.
The transportation cost
= (6\(\times\)6)+(8\(\times\)4)+(2\(\times\)9)+(14\(\times\)2)+(1\(\times\)6)+(4\(\times\)2)
= Rs.128
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