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Question: three fields a b and c have daily production capacities...

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Three fields (A, B and C) have daily production capacities of 100,000 barrels for A, 150,000 barrels for B and 500,000 barrels for C. There are 7 potential markets for the oil (T.U,V,W,X,YZ). You estimate that you can sell dT, du,..., dz barrels daily at those markets, at the price pr,...,pz per barrel. Transportation cost from oil field i to market j is given by ci per barrel. Find the optimal production levels at the oil fields and where the produced oil should be sold.

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