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Question

Milk is produced in three plants and transported to four distribution centres. The unit cost of transportation (in hundred of Rupees) from plant to distribution centres is given in the following table. The quantity required by center and capacity of plant in million litre is also provided in the table.


The north west corner rule provides the total transportation cost as

A
Rs. 10200
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B
Rs. 11200
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C
Rs.11200
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D
Rs. 11600
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Solution

The correct option is D Rs. 11600

Minimum cost
=[2×6+1×1+8×5+15×3+9×2]×100=Rs.11600

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