11 — 19 PROGRESSION endorsed for edexcel #3 Edexcel AS and A level Further Mathematics Decision Mathematics 2 Tay CSN OSHE TS Crterea (ctl er Sherran, Harry Smith, iy bce)Published by Pearson Educatin Limited 89 Strand, Landon WE2R ORL a personichoolsandfecaleges co.uk opis of ofl specifications fo al Pearson qufieatons maybe found onthe website ‘quabRestonspearznzam ‘Text © Pearson Education Limited 2018 Estes by Tech Set Ld, Gateshead Typeset by Teen Set Ld, Gateshead (fignalilstations © Pearson education Limited 2018, over ilustration Marcuse mists “The right of Susi Jameson, Francis Norma, Keith ledge, Peter Shertan, Harty Smith and Tbeahim Wav to be dent as author ofthis work have been asserted by tem In accordance ulth the Copyighe, Designs and Patents Act 1988. 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Endorsement doesnot cover any guidance on assessment activities or processs (eg practice ‘questions or aceon how to answer assesment questions). included the resource nor does Ipreseribe any parscular approach othe tearing ar delivery ofa eate couse While the publishers have made evry aterpt to ensure that adic on the qualification ‘and is assessment accurate, the afcal specicaion and associated assessment guidance ‘materia are the aly authertative source of formation and should always De etre 0 for Sette guidance Pearson examiners have not contributed to any setlonsin this resource relevant to fxamination papers for which they have respons, Examiners ill nt use endorsed resources a source of material for ny ascessment st by Pestson Endorsement af resurce does not mean that the resource ls required ta achieve ths Pearson ‘ualfcation, nor does ic ean that its the only suitable material avaiable to support the fuallfication, and any resource lists precced by the anarlng body shall include ts an ther appropriate rescurces Pearson has bust editorial processes including answer and fact checks, to ensure the accuracy ofthe cantent in thls publ, and ever eff Is made to ensure this publation iste af eros Weare, howvee aly human, ane occasionally erors do acc Pesos Not lable fo any misunderstanaings that arse as 3 result errors inthis publication, aut ts ‘ur prot to ensure thatthe content is accurate if you spot an eto please do contact us a [email protected] so we can make Sure is cvrectedContents @ Contents © =Alevel only Overarching themes iv 6 Game theory 179 Extra online content Vi GL_Play-safe strategies and stable solutions 180 ‘Transportation problems: 1 6.2 Reducing the pay-off matrix 191 ‘Toei ties tcornieriniettiod 2 63 Optimal strategies for games with no Unbalanced problems and degenerate Sable soliton 196 solutions © 6.4 Converting games to linear Finding an improved solution n programming problems ag The stepping-stone method 19 Mie eeRES 208 Linear programming 28 Mixed exercise 1 32.7 Recurrence relations 214 7.1 Forming recurrence relations 215 2 ‘Allocation problems 38 7.2. Solving first-order recurrence relations 219 2.1 The Hungarian algorithm 39 : 73. Solving second-order recurrence 22 Usinga dummy 49 isllons a 2.3. Maximum profit allocation 51 Misederer’be? a 2.4 Managing incomplete data 56 ©2.5 Linear programming 62 @8 Decision analysis 242 Miked enereise'z 67 @ BA Decision trees 243 . 82 Utility 252 3 Flows in networks 1 2 Hse enero ey 3.1 Flows in networks 3 3.2 Cuts and their capacities 78 Review exercise 2 263 23 irene | etter OSld) 2 3.5 Maximum flow— minimum cut ‘© Exam-style practice paper (A level) 216 theorem 98 Mixed exercise 3 104 Answers at ©4 Flows in networks 2 199 Index 325 ©4.1 Lower capacities 110 @42 Sources and sinks 19 ©43 Restricted capacity nodes 128 Mixed exercise & Bz Review exercise 1 138 ©5 Dynamic programming 151 ©5.1 Shortest and longest path problems 152 ©5.2 Minimax and maximin problems 161 5.3 Dynamic programming problems in table form 165 Mixed exercise 5 114 itiOverarching themes e Overarching themes The following three overarching themes have been fully integrated throughout the Pearson Edexcel ‘AS and A level Mathematics series, so they can be applied alongside your learning and practice. 1. Mathematical argument, language and proof * Rigorous and consistent approach throughout * Notation boxes explain key mathematical language and symbols * Dedicated sections on mathematical proof explain key principles and strategies * Opportunities to critique arguments and justify methods 2. Mathematical problem solving ‘The Mathematical Problem-solving cycle * Hundreds of problem-solving questions, fully integrated cr ‘specify the problem 1 into the main exercises + Problem-solving boxes provide tips and strategies Intervet resus soles retin + Structured and unstructured questions to build confidence + Challenge boxes provide extra stretch t paces J sepeesent information 3. Mathematical modelling * Dedicated modelling sections in relevant topics provide plenty of practice where you need it + Examples and exercises include qualitative questions that allow you to interpret answers in the context of the model * Dedicated chapter in Statistics & Mechanics Year 1/AS explains the principles of modelling in mechanics Finding your way around the book Access an online digital edition using the code at the Dynamic programming, 5 front of the book. Each chapter starts with a list of objectives The real world applications of the maths you are about toleam are highlighted at the start of the chapter with links to relevant questions in the chapter The Prior knowledge check helps make sure you are ready to start the chapterOverarching themes Alevel content is = clearly lagged —~" Exercise questions ate carefully graded so they increase - Se in difficulty and : brine cnannacnnterne gradually bring you up to exam standard Exercises are packed with exam- er style questions toensure you are ready for the ‘exams Challenge boxes give you a chance to tackle some more difficult questions Each chapter Each section begins Step-by-step Problem-solving boxes Se RUGS exdsutha —vithexlanaton "otked romps provide hits tps and Mixed exercise and key learning focus on the strategies, and Watch Problem-solving anda Summary points key types of ‘out boxes highlight questions are flagged of Key points questions you'll areas where students with ® need to tackle often lose marks in the oan Every few chapters a Review exercise helps you consolidate your learning, with lots of exam-style questions Exam-style practice Further Mathematics | eect Decision Mathematics 2 Review exercise 1 thane need ane AS and A level practice papers at the back of the book help you prepare for the real thing.Extra online content e Extra online content Whenever you see an Online box, it means that there is extra online content available to support you SolutionBank SolutionBank provides a full worked solution for every question in the book. CLD Full worked solutions are ae available in SolutionBank. Download all the solutions as a POF or ‘quickly find the solution you need online Use of technology e Explore topics in more detail, visualise (CEN ins the point of intersection problems and consolidate your understanding _ graphically using technology. using pre-made GeoGebra activities. GeeGebra = GeoGebra-powered interactives - Interact with the maths you are learning Using GeoGebra's easy-to-use tools Sut tc kent cua a eset www.pearsonschools.co.uk/d2math Bam 5 viTransportation problems After completing this chapter you should be able to: © Describe and model transportation problems > pages 2-37 Use the north-west corner method > pages 2-6 © Understand unbalanced transportation problems and degenerate solutions > pages 6-11, © Use shadow costs to find improvement indices > pages 11-18 © Use the stepping-stone method > pages 19-28 ©. Formulate a transportation problem as a linear programming problem “pages 28-35 rg ae ekg A company produces three sizes of paddling pool, small, medium and large. Each week, the company buys 10000 m? of PVC. The table shows the number of m? of PVC needed for each size of pool and the profit made on each one sold. Large _| Medium | Small Puc(m) | 15 10 6 Profit (£) 5 4 2 The efficient transportation of goods from suppliers to customers requires knowledge of storage constraints and costs. This information can be One week, a large retailer has placed an order for 300 large paddling pools, so at least this number must be made. In addition, the number of small paddling pools must be less than 30% of the total number made. The company wishes to maximise its profit this week stored and processed in matrix Formulate this situation as a linear programming form, or formulated as a linear problem. D1, Chapter 6 programming problem.Chapter 1 @® The north-west corner method 9 in this chapter you will look at the costs relating to the transportation of goods: to factories, and from factories to warehouses and customers, The problems considered are usually concerned with minimising distribution costs in situations where there are multiple sources and multiple destinations, You need to be familiar wth the terminology used in describing and modelling transportation problems: 1 The capacity of each of the supply points (or sources) - the quantity of goods that can be produced at each factory or held at each warehouse. This is called the supply or stock. = The amount required at each of the demand points (or destinations) - the quantity of goods that are needed at each shop or by each customer. This is called the demand. = The unit cost of transporting goods from the The unit cost isthe ost of transporting supply points to the demand points. one item. ifthe unit cst is £e then it will cost Ene to transport m items. ‘Three suppliers 4, B and C each produce road grit which has to be delivered to council depots 1, X, Yand Z. The stock held at each supplier and the demand from each depot is known. The cost, in pounds, of transporting one lorry load of grit from each supplier to each depot is also known, This information is given in the table. Se eS ae ana Ww x y Z__| (lorry loads) ‘Supplier 4 180, 110 130, 290 4 ‘Supplier B 190 250 150, 280, 16 Supplier C 240 | 270 | 190 | 120 20 Demand (lorry loads) i 15 4 10 50 Use the information in the table to write down: a the number of lorry loads of grit that each supplier can supply b the number of lorry loads of grit required at each depot © the cost of transporting a lorry load of grit from 4 to W d the cost of transporting a lorry load of grit from C to Z. ¢ Which is the cheapest route to use? £ Which is the most expensive route to use? Suppliers A, B and C can provide 14, 16 and 20 lorry loads respectively. Depots W, X, ¥and Z require 11, 15, 14 and 10 lomy loads respectively. The cost of transporting one lorry load from A to Wis £180, The cost of transporting one lorry load from C to Z is £120, The cheapest route is A to ¥ at £110 per load. The most expensive route is A to Z at £290 per load,Transportation problems In general, the manufacturer would like to minimise the total transportation costs whilst still meeting demand. This s called the transportation problem and can be solved using the transportation algorithm: ‘The transportation algorithm 1 First find an initial solution that uses all the stock and meets all the demands. 2 Calculate the total cost of this solution and see if it can be reduced by transporting some goods along a route not currently in the solution. (If this i not possible then the solution is optimal.) 3 ifthe cost can be reduced by using a new route, allocate as many units as. possible to this new route to create a new solution. 4 Check the new solution in the same way as the initial solution to see if itis optimal. not, repeat step 3 5 When no further savings are possible, an optimal solution has been found. The first step In the box above requites you to find ==> The soluti ratec an initial solution, The method used for this is called eae ee tha north-wast cones, mathiod: initial (or basic) Feasible solution, ‘The north-west corner method 1 Create a table, with one row for every source and one column for every destination. Each cell represents a route from a source to a destination. Each destination’s demand is given at the foot of each column and each source's stock is given at the end of each row. Enter numbers in each cell to show how many units are to be sent along that route. 2 Begin with the top left-hand corner (the north-west corner). Allocate the maximum available quantity to meet the demand at this destination (whilst not exceeding the stock at this source) 3. As each stock is emptied, move one square down and allocate as many units as possible from the next source until the demand of the destination is met. As each demand is met, move one square to the right and again allocate as many units as possible. 4 When all the stock is assigned, and all the demands are met, stop. CEE irorsertoavcid — CED Foraprobieminvelvingm —— EBD inyour exam, degenerate solutions, movements __ sources and m destinations, you problems will be are made between squares either -—srmustenterm +m~1 transportation _—_restricted toa vertically or horizontally but quantities > 0.This will not reduce maximum of 4 sources never diagonally. -+ExampleS throughout the problem. ‘and 4 destinations,Chapter 1 (examnte @) Depot W | DepotX | Depot ¥ | DepotZ | Stock Supplier A 180 10 130 290 4 Supplier B 190 250 150 280 16 Supplier © | 240 270 190 120 20 Demand ul 15 4 10 50 Use the north-west corner method to find an initial solution to the problem described in Example 1 and shown in the table, and state its cost. EBD Explore how the north-west corner Uribe: tremenorted ‘method can be used to find an initial solution WX (LY |Z [Stock using GeoGebra, 4 14 c 20 Demand | 11 | 15 | 4 [10 | 5015 x 3 2 14 16 20 50 This is the final table, All of the stock has been used and all of the demands met, C Demand 10 10 1 [45 Use this table, together with the table showing costs, to work out the total cost of the solution. Cost matrix WX Y | Z [Stock A FeO|mioy 130 [290] 14 B 190 |250/MBol| 280[ 16 c 240/270 [190/926] 20 Demana| 13 | 15 | 14 [ 10 | 50 The total cost of this solution is (11 x 180) + (8 x 110) + (12 x 250) +4 & 150) + (10 x 190) + (10 x 120) £9010 Baca available at each supply point, In each case: b verify that, for each solution, ¢ determine the cost of each initial solution. Transportation problems cus Number of occupied cells (routes used) in the table = number of supply points + number of demand points ~ 1. In this case, ‘number of occupied cells (routes used) = 6 number of supply points number of demand points = and6=344-1, ‘The cost matrix shows the cost of ‘transporting one unit. Multiply the entry in each relevant position by the number of units being transported by that route, The relevant entries are shaded in this table, as these are the routes used in this initial solution. In questions 1 t0 4, the tables show the unit costs of transporting goods from supply points to demand points, the number of units required at each demand point and the number of units use the north-west corner method to find the initial solution number of occupied cells = number of supply points + number of demand points ~ 1Chapter 1 Bi P | O | R | Supply 2 P| OQ | R | S | Supply 4 150 [213 | 222 | 32 A a7 [3 | [a [4 B i7s_[ 204 [218 [44 B a | 29 [7 fw | @ a ise | 198 | 246 | 34 c ao | 32 [28 [35 | 29 Demand | 28 | 45 | 37 | 110 Demand | 21 | 32 | si_| 46 | 130 3 P | 0 | R | Supply 4 P| 0 | ® | S$ | Supply 4 | 4 [9 | 13 4 so | 86 | w | 61 | 1M zB 1s [21 [25 [13 B 3 | 7% | 38 | 65 | 203 G w | | is | es q e| wl | | 176 D 20 | 27 | 16 | 180 D oo | | if a is Demand | 200 | 100 | 200 | 500 Demand [175 | 175 [175 [17s | 700 ©) Unbalanced problems and degenerate solutions In the cost matrices given in the previous section, the total supply was always equal to the total demand. In real life this is rarely the case. ™ When total supply 7 total demand, atransportation EY - problem is unbalanced. Ifunits are assigned to ‘a dummy demand point, they + If total supply > total demand, you need to add represent excess capacity. Ifa dummy demand point. particular demand point is receiving + If total supply < total demand, you need to add Units from a dummy supply point, dummy supply point. they represent unmet demand. In each case the demand or supply at the dummy is chosen so that total demand is equal to total supply, and the transportation costs to/from the dummy location are all zero. ‘Three outlets A, B and Care supplied by three suppliers X, Y and Z, The table shows the cost, in pounds, of transporting each unit, the number of units required at each outlet and the number of units available at each supplier. 4A | 8 [| © | Supply x 9 | u | 40 ¥ 10 8 | 2 0 Zz 12 7 8 30 Demand | so | 40 | 30 a Explain why it is necessary to add a dummy demand point in order to solve this problem. b Add a dummy demand point and appropriate costs to the table. ¢ Use the north-west comer method to obtain an initial solution, 6Transportation problems The total supply is 150, but demand is 120. A dummy is needed to absorb this excess, so that total supply equals total demand. 1e total b A | BIC | DB [Supply x 9 [1 [ilo | 40 ¥ wo [6 [wo co Z wzi[7[slo| so Demand [50 [40[30[30| 150 Units transported A| Bl CID | Suppy x 40 40 ¥ 10 [40 | 10 60 Zz 20[30| 50 Demand [50 [40[30[30| 150 ‘The table shows the cost in pounds of transporting each unit to three retailers 4, Band C from three suppliers 1”, Vand Y. It also shows the number of units required by each supplier and the number available at each outlet 4a | B | Cc { Supply Ww 8 9 [iu 35 x 9 | 0 [| 2 70 ¥ m | 8 6 Demand | 74 | 72 | 68 a Use the north-west corner method to obtain an initial solution. b State, with a reason, which retailer has not had their demand fully met. ‘a The total supply available is 55 +70 +65 = 190 units The total demand is TA+72 + 6B = 214 units The problem is unbalanced since total supply # total demand A dummy supply row is needed before we can use the north-west corer method 7Chapter 1 Demand Units transported 4 BIC | Suppy ne ae oR. Problem-solving x 19 | 51 70 ar [gal ee The intial solution shows 24 units being = transported from the dummy supply point. zs ee | Ee These units do not exist, so they represent unmet Demand _| 74 | 72 [65 Meret b Retailers A and B have their demands fully met but retailer Chas a shortfall of 24 units. = Ina feasible solution to a transportation problem with mt rows and n columns, if the number of cells used is less than n +m — 1, then the solution is degenerate. This will happen when an entry, other than the last, is made that satisfies the supply for a given row, and at the same time satisfies the demand for a given column. The algorithm requires that 1 +m — 1 cells are used in every solution, so a zero needs to be placed in a currently unused cell. ex: The table shows the unit cost in pounds of transporting goods from supply points WV, X, Yand Z to demand points 4, B and C. It also shows the number of units required at each demand point and the number of units available at each supply point. 4 |B | C {| Supply w w fu | 6 30 x afos|9 20 y af s [7 35 Zz re ee 35 Demand | 30 | 40 | 50 | 120 a Demonstrate that the north-west corner method gives a degenerate solution and explain why it is degenerate, b Adapt your solution to give a non-degenerate initial solution and state its cost.Transportation problems DD Units teanoported 4 30 B 30 20 35, 35 120 20 20 15 35 50 There are 4 rows and 3 columns so a non-degenerate solution will use 443-16 cells, This solution is degenerate since it fulfils all the supply and demand needs but only uses 5 cells WA, XB, YB, YC and ZC. b There are two possible initial solutions, depending on where you chose to place ¥ 35 Zz 35 Either 4[B Supply W 30/0 30 % 20 20 ¥ 20/15 | 35 iz a5| 35 Demand [30[40[50| 120 Or A |B] € [Suey W 30 30, i [20 20 ¥ 20/15 | 35 ze 35| 35 Demand | 30 [40/50] 120 In fact the zero could be placed anywhere in Both have a cost of (30 x 10) +0 + (20 x 5) + (20 x 8) + (15 x 7) + (35 x 9) = £960 the table, but itis convenient to stick to the rule’ about restricting the movement to one square down or one square right.Chapter 1 Exercise 0) & Four sandwich shops 4, B, Cand D can be supplied with bread from three bakeries X, Y and Z. The table shows the cost, in pence, of transporting one tray of bread from each supplier to each shop, the number of trays of bread required by each shop and the number of trays of bread that can be supplied by each bakery. 4 [| B | © | D | Supply x 27] 3 | 4 | 4 60 y af 2 | a7 | 30 60 Zi 4 | 2 | ow | 35 80, Demand 40 70 50, 20 a Explain why it is necessary to add a dummy demand point in order to solve this problem, and what this dummy point means in practical terms, (1 mark) b_ Use the north-west comer method to determine an initial solution to this problem and the cost of this solution. (2 marks) 2 A company needs to supply ready-mixed conerete from four depots 4, B, Cand D to four work sites K, L, M and N. The number of loads that can be supplied from each depot and the number of loads required at each site are shown in the table, as well as the transportation cost per load from each depot to each work site. kK [fe | ™ [NW [ Supply 4 35 | 46 | o2 | 80 20 B m4 | 3 | 3 | 32 15 G oa [| a | 5 | 6 20 D ofa | a | a 20 Demand | 25 [ 10 [ 18 | 22 a Explain what is meant by a degenerate solution, b Demonstrate that the north-west corner method gives a degenerate solution. € Adapt your solution to give a non-degenerate initial solution. ‘The table shows a balanced transportation problem, L | ™ |_N | Supply P sf 5s | 9] 2 @ 4 [3 a R ef 4 W is sf 2] s b Demand | 15 | 17 | 20 The initial solution, given by the north-west corner method, is degenerate. a Use this information to determine the values of « and . b Hence write down the initial, degenerate solution given by the north-west corner method. ¢ Explain how to adapt the solution so that itis no longer degenerate. 10Transportation problems 4 Three companies A, B and C supply tyres to three garages P, Q and R. The table shows the cost Zip) _ in pounds of transporting each tyre from a company to a garage. It also shows the number of tyres available at each company and the number of tyres required at each garage for a period of one week. Supply 28 26, 3 = alae] wlafe)> Blalufulc Demand | 24 45 a Explain why a dummy supply point is needed. (1 mark) b_ Use the north-west corner method to find an initial solution using a dummy supply, D. Explain clearly how you avoided a degenerate solution. (2 marks) ¢ Interpret the value in row D of your initial solution. (1 mark) So far, you have only found initial solutions to the transportation problem. You now need to consider how the solution can be improved in order to reduce the costs. inding an improved solution To find an improved solution, you need to: 1 Use the non-empty cells to find the shadow costs. > Examples 6, 7 2 Use the shadow costs and the empty cells to find improvement indices. > Examples 8, 9 3. Use the improvement indices and the stepping-stone method to find an improved solution. ~ Example 10, Section 1.4 Consider the initial solution found in Example 2. The costs associated with the routes used in the solution have been highlighted, Cost matrix Initial solution wfx | ¥ '[ Z [stock WX | ¥ '[ Z [stock A 180 | 710 | 130 [ 290 | 14 A nf 3 14 B 190 | 250 | 150)] 280 | 16 B wz | 4 16 c 240 | 270 | 190 | 120 | 20 c io | 10 | 20 Demand | ii | 15 | 14| 10| 50 Demand | 11 | 15 | 14 | 10 | 50 For a given route, you can define each cost in terms of the portion of the cost due to supply costs, and the portion of the cost due to demand costs. These costs are called shadow costs. ™ Transportation costs are made up of two components, one associated with the source and ‘one with the destination. These costs of using that route are called shadow costs. coChapter 1 {G) The cost of transporting a unit between two points is the sum of these costs. For example: S(A) + D(X) = 110 This is the cost of ee S(C) + DZ) = 120 panies suite ‘given supply point, 4, is written S(4) or Ry. from atbai ‘The shadow cost associated with a given demand point, X is written D(X) oF Ky For any given solution, you will have more SUE DUDS unknowns than equations. In the above example, aren Sais ae sicalaraaittion =e = there are 6 equations based on the shadow costs Pelion ese cert earerraan eo for the 6 routes that are used in that solution, but there are 7 unknowns (the shadow costs for each source and destination). However, by setting one value arbitrarily equal to 0, you can solve to find the other shadow costs. ‘To find the shadow costs, follow these steps: 1 Start with the north-west corner, and set the cost linked with its source to zero. 2 Move along the row to any other non-empty squares. Set the cost linked with these destinations equal to the total transportation cost for that route (since the source cost for the first row is 0). 3. When all possible destination costs for that row have been established, go to the start of the next row, 4 Move along this row to any non-empty squares and use the destination costs found earlier, to establish the source cost for the row. Once that has been done, find any further unknown destination costs. 5 Repeat steps 3 and 4 until all source and destination costs have been found. Calculate the shadow costs given by the initial solution of the problem given in Example 2 shown in the table below. Depot W_[ Depot X [| Depot ¥_[ Depot Z | Stock ‘Supplier A 180 Ho 130 290 4 Supplier B 190 250 150 280 16 Supplier © 240 270 190 120 20 Demand i 15 4 10 50 12Transportation problems Initial solution (see page 5) was Thx tis] CIS 4 nif 3 14 costs using GeoGebra. B 2 | 4 16 c 10 [10 [ 20 Demand | it | 15 | 14 [ 10 [| 50 Fill in the costs of the routes being used — the non-empty squares. Depot | Depot | Depot | Depot w[ xi] ¥ | @ 160 | 110 250 | 150 ‘The Demand row and the Stock column Supplier C 190 | 120 are not needed when finding the shadow costs. Putting S(A) to zero, from row 1 we get D(W) = 180 and D(X) = 110. 150) 110) Depot W| Depot X| Depot ¥| Depot Z ‘Supplier A| 160 110 Supplier B 250_|_ 150 Supplier C 190 Now move to row 2: We know that DU) and hence D(¥) = 10, so S{B) = 140] Shadow costs 160 [110 10 Depot W| Depot X| Depot ¥ | Depot Z o Supplier A; 160 | 110 140___| Supplier B 250 | 150 ‘Supplier C 190 | 120 Move to row 3: We know that D(Y) = 10, 30 S(C) = 160 60, il 180 110 10 =60 Depot W| Depot X| Depot ¥ | Depot Z oO ‘Supplier A| 150 10. 140 ‘Supplier B 250 150) 180 ‘Supplier C 190 120 We have now found all source and all Ser eno tim a, sce) a seo, BECAUSE YOU set SL) = 0 you arin fact riding relative Be ce eat so ee, sts notacual ests. This can pve se to negative ; 19. * values, as Seen in this table, These relative costs are a suitable for the purposes of implementing the algorithm. 13Chapter 1 ex) in the table below. Calculate the shadow costs given by the initial solution of the problem given in Example 3 shown 4 [| 8 | cD | Supply x ofa [wf o 40 ¥ Oe a 0 i mi[7{| so 50 Demand | 50 | 40 | 30 | 30 | 150 4 [8] CID | Supply x 40 40 Y 10 | 40 | 10 60 Zz 20 [30] 50 Demand | 50 | 40 | 30 [30 Using the costs associated with the routes used in the initial solution: Shadow costs: AlelclD = [9 y [10/6 [1 zi elo Arbitrarily assign Shadow costs: aA| ke |o ° me y [role [2 z @[o Use this to work out th Shadow costs 2 Alelclo 0 x [9 y [10/6 [12 Zz elo 14Transportation problems ce ti to work on the sacow cont for (7) Shadow costs S 4l[e|cip o x [2 1 ¥ [o[é [te Zz 6fo Then work out the shadow costs for D(B) and OC}: Shadow costs 9[7[" 4[elc[p ° ¥ [is 1 y [ols [a2 Z 6[o Use these to work out the shadow cost for SZ) Shadow costs 9[7[" 4[Bi[c[D ° x | 2 i y [10/6 [12 =3 z Blo Then work out the shadow cost for DID): Shadow costs 9[7["][3 A[elc|op o x [9 1 y |io| 6 [1 2 Zz 6[o It may be possible to reduce the cost of the initial solution by introducing a route that is not currently in use. You consider each unused route in turn and calculate the reduction in cost which would be made by sending one unit along that route. This is called the improvement index. = The improvement index in sending a unit from a source P to a demand point Qis found by subtracting the source cost S(P) and destination cost D(Q) from the stated cost of transporting one unit along that route C(PQ): Improvement index for PQ = Iny = C(PQ) - $(P) - D(Q) = The route with the most negative improvement index will be introduced into the solution. = The cell corresponding to the value with the most negative improvement index becomes the entering cell (or entering square or entering route) and the route it replaces is referred to as the exiting cell (or exiting square or exiting route). 15Chapter 1 = If there are two equal potential entering cells you may choose either. Similarly, if there are two equal exiting cells, you may select either. = If there are no negative improvement indices the solution is optimal. ERED explore how to calculate Shadow costs 180 110 10 = Depot W [Depot X | Depot ¥ | Depot Z 0 | Supplier 4 180 110 130 290 140 | Supplier & 190 250 150 280 180 | Supplier © 240 270 | 180) 120 | Use the shadow costs found in Example 6, and shown in the table above, to calculate improvement indices, and use these to identify the entering cell. Focus on the routes not currently being used: BW, CW, CX, AY, AZ and BZ. The known shadow costs are: SA) = 0, S(B)= 140, 5(C) = 160, D(W) = 160, DIX) Improvement index for BW = Iw = C(BW) - 5(B) - D(W) Improvement index for CW’ = Icw = 240 ~ 180 - 180 = ~120 Improvement index tor CX = ley = 270 ~ 180 - 110 Improvement index for AY = |4y = 130 ~ 0 - 10 = 120 Improvement index tor AZ = |yz = 290 - 0 - (-60) Improvement index for BZ = Inz = 260 - 140 - (~60) = The entering cell is therefore BW, since this has the most negative improvement index 10, DIY) =10, DIZ) 190 - 140 - 180 = -130 A more concise approach is to write the improvement indices in a table. The routes already in use are marked with a cross. Shadow costs 180 110 10 60 Ww x ¥ Zz 0 A x x 140 B x x 180 c x x The calculations are carried out exactly as above, but without all the working, and the results are entered directly into the table. Shadow costs 180 110 10 60 Ww ie y z 0 A x x 120 350 140 B =130 x x 200 180 c -120 -20 x x As before, the entering cell is seen to be BW as it has the most negative value. 16Transportation problems ap You may be given several copies of a blank table in your exam, {You don’t have to use all of them, just the ones that you need. ‘The table shown below is typical of the type provided. W Eg iy Zi A B a You will be expected to write the shadow costs in the appropriate places to give a final response like the one below. mm we xX ¥ Zz ofa * x 120 350 so |B | _=130 x x 200 180 | C 120, 20 x * a Use the north-west corner method to find xX ¥ Zz an initial solution to the transportation A ln 12 7 problem shown in the table. B 1B 10 1B b Find the shadow costs and improvement Cc 1s 18 9 indices. Demand 10 1s 1s ¢ Hence determine whether the solution is optimal. a Units transported X | ¥ |Z | Suppy 4 10 [7 1 B 4 [1 [ 4 c 4 | 14 Demand | 10 | 15 | 15 b Shadow costs ne x Y¥|Z -2[e| [ro [1 | Siz 2 a