BUSI 411 Homework 15 Supply Chain Management Assignment solutions complete answers
A manager at Strateline Manufacturing must choose between two shipping alternatives: two-day freight and five-day freight. Using five-day freight would cost $135 less than using two-day freight. The primary consideration is holding cost, which is $11 per unit a year. 2,075 items are to be shipped.
Which alternative would you recommend? (Do not round your intermediate calculations.)
Determine which shipping alternative would be most economical to ship 110 boxes of parts when each box has a price of $200 and holding costs are 30 percent of price, given this shipping information: overnight, $300, two-day, $260, six-day, $180. (Round your intermediate calculations to 2 decimal places.)
A manager must make a decision on shipping. There are two shippers: A and B. Both offer a two-day rate: A for $522, and B for $532. In addition, A offers a three-day rate of $478 and a nine-day rate of $410, and B offers a four-day rate of $456 and a seven-day rate of $424. Annual holding costs are 30 percent of unit price. Three hundred and thirty boxes are to be shipped, and each box has a price of $154. Which shipping alternative would you recommend? (Round your intermediate calculations to 3 decimal places and final answers to 2 decimal places.)
