Objective

The objective is to minimize the following function:

\[  \Variable{TotalCost} = \Variable{FixedCost} + \Variable{VariableCost}  \]

where

$\displaystyle  \Variable{FixedCost}  $
$\displaystyle = \sum _{\text {depot} \in \text {DEPOTS}} \left(\Argument{open\_ cost[depot]} \cdot \Variable{IsOpen[depot]} - \Argument{close\_ savings[depot]} \cdot (1 - \Variable{IsOpen[depot]})\right)  $
$\displaystyle  $
$\displaystyle + \sum _{\text {depot} \in \text {EXPAND\_ DEPOTS}} \Argument{expand\_ cost[depot]} \cdot \Variable{Expand[depot]}  $

and

\[  \Variable{VariableCost} = \sum _{(i,j) \in \text {ARCS}} \Argument{cost[i,j]} \cdot \Variable{Flow[i,j]}  \]