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A manager at Strateline Manufacturing must choose between two shipping alternatives: two-day freight and five-day freight. Using five-day freight would cost $170 less than using
A manager at Strateline Manufacturing must choose between two shipping alternatives: two-day freight and five-day freight. Using five-day freight would cost $170 less than using two-day freight. The primary consideration is holding cost, which is $10 per unit a year. 2,250 items are to be shipped. Which alternative would you recommend? (Do not round your intermediate calculations.)
Two-day freight :
Five-day freight:
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