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Contact [7]
3 years ago
14

A manager must make a decision on shipping. There are two shippers: A and B. Both offer a two-day rate: A for $508, and B for $5

33. In addition, A offers a three-day rate of $474 and a nine-day rate of $410, and B offers a four-day rate of $451 and a seven-day rate of $430. Annual holding costs are 31 percent of unit price. Three hundred and thirty boxes are to be shipped, and each box has a price of $152. Which shipping alternative would you recommend
Business
1 answer:
katen-ka-za [31]3 years ago
6 0

Answer:

The answer is "Option A (2 days)".

Explanation:

Using formula:

The daily cost for storing the product = \frac{(\text{Annual Holding cost} \times  \text{Product value})}{365}  

                                                              = \frac{(0.31 \times 152)}{365} \\\\= \frac{(47.12)}{365} \\\\= 0.129

The daily cost of storing 330 \ boxes = 330\times 0.129 = \$ 42.601

For point A:

For (2 days):

= 508 + (2\times 42.6) = 593.203

 For (3 days):

= 474 + (3\times 42.6) =601.805

For (9 days):

= 410 + (9\times 42.6)= 793.415

For point B:

 For (2 days):

= 533 +(2\times 42.6) = 618.203

 For (4 days):

= 451 +(4\times  42.6) = 621.407

For (7 days):

= 430 +(7\times 42.6) = 728.212

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Answer:

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Explanation:

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Answer:

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Explanation:

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3 years ago
Market value per share is:
vesna_86 [32]

Answer:

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