During the next three quarters, airco faces the following demands for air conditioner compressors: 200 in quarter 1, 300 in quarter 2, and 100 in quarter 3. as many as 240 air compressors can be produced in each quarter. production costs for each compressor per quarter are given as: $200 in quarter 1, $180 in quarter 2, and $140 in quarter 3. the cost of holding an air compressor in inventory is $100 per compressor per quarter. lastly, demand can be backlogged (as long as it is met by the end of quarter 3) at the cost of $60 per compressor per quarter. formulate a transportation problem whose solution tells airco how to minimize the total cost of meeting demands for each of the three quarters. quarter 1

quarter 2

quarter 3

$200

$180

$240