Transportation Model - Easy MCQs

What is the main objective of the transportation model in Operations Research?

• To maximize employee productivity

• To build new transportation routes

• To minimize the cost of transporting goods from sources to destinations

• To increase customer satisfaction

In a transportation model, what is the 'origin'?

• A type of product

• A destination warehouse

• A supply location or source

• A cost factor

Which method starts allocating units from the top-left cell of the transportation table?

• Stepping-Stone Method

• Minimum Cost Method

• Vogel's Approximation Method

• Northwest-Corner Rule

What is the purpose of Vogel's Approximation Method?

• To find the optimal solution

• To balance supply and demand

• To find an initial feasible solution based on penalty costs

• To eliminate dummy variables

What term refers to the cost of opportunities forgone when a certain decision is made?

• Penalty cost

• Opportunity cost

• Marginal cost

• Sunk cost

What is the role of the Stepping-Stone Method in transportation modeling?

• To estimate supply needs

• To collect customer data

• To test if a solution is optimal

• To find total demand

What happens in an unbalanced transportation problem?

• The algorithm crashes

• Demand does not equal supply

• No feasible solution exists

• Dummy variables are eliminated

What is added to balance a transportation model with more supply than demand?

• Penalty costs

• More destinations

• Dummy destination with zero cost

• A stepping path

What does a 'stone square' represent in a transportation table?

• A used route between source and destination

• An unused alternative

• A closed path

• A dummy entry

If a transportation solution has fewer occupied squares than required, it is:

• Balanced

• Optimal

• Degenerate

• Complete