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Classical transportation problem

The classical transportation problem is solved.

Symbols:

b(i) capacity of supplier i
d(j) demand quantity of customer j
x(i,j) transportation quantity from i to j
ds(j) cost difference in column j (Vogel's approximation method)
dz(i) cost difference in row i (Vogel's approximation method)
u(i) dual variable associated to row i (MODI method)
v(j) dual variable associated to column j (MODI method)

An initial solution is computed with Vogel's approximation method. Next the MODI method is applied to find the optimum solution.

All number are required to be integer.

If neccessary, a dummy-supplier or a dummy-customer with associated transportation costs 9999 is introduced.

Literature:

- Krajewski/Ritzman (1996), Supplement G


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