Compute number of models of each truck must be bought

Assignment Help Other Subject
Reference no: EM13111087

The Two-Rivers Oil Company near Pittsburgh transports gasoline to its distributors by truck. Company currently contracted to supply gasoline distributors in souther Ohio, and it has 600,000 available to spend on essential expansion of its fleet of gasoline tank trucks. Three models of gasoline tank trucks are available. Super Tank, Regular Line, Econo-Tanker. Super Tank capacity gallons are 5,000 buying cost is 67,000 and Monthly operating cost are 550. Regulare capacity gallons are 2,500 buying caost is 55,000 and monthly operating cost is 425. Econo-Tanker capacity gallons are 1000 buying cost is 46,000 and monthly operating cost is 350. Company evaluates that monthly demand for region will be 550,000 gallons of gasoline. As size and speed differences of trucks the number of delieveries or round trips possible per month for each truck model will differ. Trip capacities are evaluated at 15 trips per month for super tanker, 20 trips per month for regular line, and 25 trips for Econo Tanker. Based on maintenance and driver availability firm doesn't want to add more than 15 new vehicles to its flee. In addition, company has made decision to buy at least three of new Econo-Tankers for use on short-run, low-demand routes. As the final constraint, conpany deosn't want more than half new models to be Super Tankers.

A) if company wants to satisfy gasoline demand with minimum monthly operating expense, how many many models of each truck must be bought?

B) if company didn't need at least three Econo-Tankers and did not limit number of Super Tankers to at most half new models, how many models of each truck must be bought?

Reference no: EM13111087

Questions Cloud

Calculate the budgeted operating income : Foster Company makes power tools. The budgeted sales are $420,000, budgeted variable costs are $147,000, and budgeted fixed costs are $227,500.
Determining bonferroni correction : What are planned comparisons? Why do researchers making planned comparisons need to make the Bonferroni correction? If a researcher is making four planned comparisons using the .05 significance level
Determine the new pressure of the gas : Determine the new pressure of the gas and express your answer in Pa
Explain how much cash will be freed up : The industry is now adopting a new inventory system if the new system is able to reduce the organization's inventory level and increase the organization's inventory turnover ratio to 5 while maintaining the same level of sales, explain how much ca..
Compute number of models of each truck must be bought : If company wants to satisfy gasoline demand with minimum monthly operating expense, how many models of each truck must be bought?
How are these values compatible : the oxaloacetate-malate couple is less negative than the NAD_- NADH couple. How are these values compatible with the transfer of electrons from malate to NAD_ in the TCA cycle?
Explain if interest rates were expected to increase : McKinsee Inc. is developing a plan to finance its asset base. The firm has $5,000,000 in current assets of which 20% are permanent and $12,000,000 in fixed assets. Long-term rates are currently 9.5%, while short-term rates are at 7%. McKinsee's ta..
Payment for subscriptions is billed one month in advance : All monthly payments are due by the 15th of each month. Payments received after the 20th of the month will result in a late fee of $20.00. The late fee may be waived one time per year.
Test value-criminal proceedings : Some defendants in criminal proceedings plead guilty and are sentenced without a trial, whereas others who plead innocent are subsequently found guilty and then are sentenced.

Reviews

Write a Review

 

Other Subject Questions & Answers

  Four identified types of research theories

What are the differences between the four identified types of research theories? Is any one type of theory more valid than the others?

  Complaints of abdominal pain

RT is 78-year-old male who presents to his doctor's office with complaints of abdominal pain.

  Norm in society or american culture

Identify a norm in our society or American culture. What is normative behavior (folkways, mores, and taboos) and how might culture influence norms?

  Us nationalism and politics of fear

Fear seems to be a real motivator for some politicians and media pundits. Do you think these type of fear tactics are really successful with Americans in general?

  Hypothetical case including constitutional tenets

What court will have jurisdiction over Tanya's suit? Why? Is the Confusion statute constitutional? Discuss your legal reasoning.

  Using cpi to calculate estimate at completion of project

Use the CPI to calculate the estimate at completion (EAC) for this project. Use the SPI to estimate how long it will take to finish this project.

  Describe and list each theorist for the different schools

Describe and list each theorist for the different schools of thought in psychology. Example Functionalism by William James. Of the founding schools of psychology which do you feel has had the most impact on modern psychology and why?

  Evidence based medicine tools

What are the pros and cons of implementing clinical pathways and/or practice guidelines or other evidence based medicine tools?

  Evaluate harrogate borough council''s approach

Evaluate Harrogate Borough Council's approach to quality management with particular reference to the system used for performance measurement.

  Bronfenbrenners ecological theory of development

Need an analysis on Bronfenbrenner's ecological theory of development. Describe and evaluate how Bronfenbrenner's levels of influence shapes people development.

  Nation of immigrants

The United States is a nation of immigrants. There is a great deal of controversy over issues of undocumented immigration. What is the historical pattern of immigration concerns in the economy?

  How scientific method associate to human services research

State the scientific method. How does it associate to human services research? Write down the steps in process of scientific inquiry?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd