Distribution of pharma

Problem Definition

The US Department of Energy conducts a series of experiments in two research facilities located in Hawkins (Atlanta) and Los Angeles. The department needs to supply these facilities with pharma products that are processed in two factories in Portland and Flint. The delivery costs are summarised in the following table:

Production plants

Research Facilities

Delivery costs

Portland

Los Angeles

€30

Portland

Hawkins

€40

Flint

Los Angeles

€60

Flint

Hawkins

€50

The supply and demand data is provided in the table below:

Supply

Available units

Demand

Required units

Portland

200

Los Angeles

300

Flint

600

Hawkins

400

Implement an MILP that determines how to supply the two research facilities at minimum cost.

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