14. A grocery supplier is trying to determine the location for its new distribution center
within the area. Shipping to the nearby five stores are be a random variable. The
coordinates and daily shipping amount (in lbs) and probability distribution from the
center to the six stores is listed in the following table. Determine the coordinates for this
new center using weighted average center of gravity method.
Location x y Amount (lbs) and Probabilities
L1 2 2 P(100)=0.5, P(150)=0.5
First calculated the expected the pounds for each location, and use the similar approach
as in 14 to solve for the coordinate.
Location x y Amount (lbs) and
Probabilities
expected
value
X
weighted
Y
Weighted