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            | Topic: | Business | 
        
            | Number of pages / Number of words: | 3 / 826 | 
                
    
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This constraint of 2,000 Klbs has the highest shadow price ($62 per Klbs). Charleston's storage capacity could be increased by up to 328.5 Klbs before the set of binding constraints changes. More raw sugar would be processed in Charleston instead of Atlanta, thus reducing freight costs, and the additional purified sugar could be sold at $200 per Klbs on the open market...
        
        
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Given greater supply, Charleston and Atlanta could process more raw sugar and produce more molasses, purified sugar and bagasse to sell on the open market. The shadow price of the quantity available from the suppliers is $12 to $21 per Klbs. We suggest negotiating with your suppliers in an attempt to increase the quantities they supply...
        
        
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