A trucking company publishes the following rates: Shipment Weight ................................................. Cost per 100 Pounds Less than 500
Question:
Shipment Weight ................................................. Cost per 100 Pounds
Less than 500 lbs ................................................. $20.00
500–999 lbs ......................................................... $18.00
1,000–4,999 lbs ................................................... $15.50
5,000–9,999 lbs ................................................... $14.00
10,000 lbs. or more ......................................... $13.00
Suppose you have 10 shipments to make, each of which weighs 800 pounds. The carrier offers to consolidate them into one shipment of 8,000 pounds but will charge an additional $300 (total) to do so. Should you agree to this offer?
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Related Book For
Managing Operations Across the Supply Chain
ISBN: 978-0078024030
2nd edition
Authors: Morgan Swink, Steven Melnyk, Bixby Cooper, Janet Hartley
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