2. The table shows the cost, in pounds, of transporting one unit of stock from each of three supply points, \(\mathrm { A } , \mathrm { B }\) and C , to each of four demand points, \(1,2,3\) and 4 . It also shows the stock held at each supply point and the stock required at each demand point. A minimum cost solution is required.
| 1 | 2 | 3 | 4 | Supply |
| A | 15 | 17 | 20 | 11 | 33 |
| B | 12 | 11 | 18 | 21 | 21 |
| C | 18 | 13 | 10 | 16 | 25 |
| Demand | 21 | 17 | 28 | 13 | |
- Use the north-west corner method to obtain an initial solution.
(1) - Taking A4 as the entering cell, use the stepping-stone method to find an improved solution. Make your route clear.
(2) - Taking the most negative improvement index to indicate the entering cell, use the stepping-stone method once to obtain an improved solution. You must make your method clear by stating your shadow costs, improvement indices, route, entering cell and exiting cell.
- Determine whether your current solution is optimal, giving a reason for your answer.