Data
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V1 = {Brossard, Granby, LaSalle, Mascouche, Montreal, Saint-Julie, Sherbrooke, Terrebonne, Valleyfield, Verdun}
V2 = {Brossard, Granby, Saint-Julie, Sherbrooke, Valleyfield, Verdun}
Xij, i ∈ V1, j ∈ V2, is a decision variable that represents the fraction of the annual demand of the market j satisfied by the plant i;
yi, i∈V1, is a binary decision variable, whose value is equal to 1 if the Potential of plant i is open, 0 otherwise.
Transport costs cij, i∈V1, j∈V2 see table 3.6, are calculated using
The equations:
Observing that trucks always travel with a full load on the trip one way and empty on the return trip.
Since the distance between the plant in Granby and the sales district of Brossard is 76.1 km., The transport cost is 2 x 76.1 x 0.92 = 140.06 Canadian dollars for the transport of 150 hectoliters.
Since the demand for Brossard district sales is 14,000 hectoliters per year, the annual transportation cost to meet the demand Total market of the Brossard plant in Granby is (14000/150) x 140.06 = 13072.32 Canadian dollars.
