A company is changing its distribution network. (See image below) Rather than shipping from their factory to only one warehouse, it will begin shipping to 5 warehouses. They want to determine what is the point where they should be switching from truckload, TL, to Less Than Truckload, LTL. Assume the annual demand will be evenly divided to all 5 warehouses A truckload costs $1250 and holds up to 2000 units (constraint) An LTL costs $5.50 per unit (added to unit cost of product in Col D) Using either method, each set up cost $350 . Each unit cost $120 and the annual holding cost is 20%. Q1. If the demand is 75000 units per year, how will their transportation costs change? How much will it cost to deliver to all 5 warehouses assuming the cost to ship to each is the same? Q2. Below what demand should the firm choose LTL? Step 1. Fill in the data and formulas in Column C-There is a truck capacity constraint. Check the value of Q to be sure it meets the constraint. Step 2. Fill in the data and formulas in Column D. Step 3. The costs in Column D are for 1