Shipping alternative, Determine which shipping alternative

Shipping alternative

Reference no: EM13319936

1) A manager at Strateline Manufacturing must choose between two shipping alternatives; two-day freight and five-day freight. Using five-day freight. Using 5 day freight would cost $135 less than using two-day freight. The primary consideration is holding cost, which is $10 petr unit a year. Two thosand items are to be shipped. Which alternative would you recommend? Expalin

2) Determine which shipping alternative would be most economical to ship 80 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.

3) A manager must make a decision on shipping. There are two shippers, A and B. Bothe offer a two-day rate; A for $500 and B for $525. in addition, A offers a three-day rate of $460 and a nine-day rate of $400, and B offers a four-day rate of $450 and seven-day rate of $410. Annual holding costs are 35 percent of unit price. Three hundred boxes are to be shipped, and each box has a price of $140. Which shipping alternative would you recommend? Explain

Reference no: EM13319936

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