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JRC Family Farms, located in California, offers grapes at a purchase price of $0.87 per pound. The grapes are shipped FOB Shipping Point to your

JRC Family Farms, located in California, offers grapes at a purchase price of $0.87 per pound. The grapes are shipped FOB Shipping Point to your facility via motor carrier (TL) at a rate of $120 per load. After arriving at your facility, you've calculated receiving and quality costs at $3.50 per pallet. You estimate that 0.5% of the truckload of grapes will spoil and 0.25% will be wasted in transport. The administrative costs to successfully manage the relationship between JRC Family Farms and your organization are estimated to be approximately 3% of the value of a truckload of shipped grapes. Each case of grapes is 20 pounds, with 40 cases per pallet and 20 pallets per truckload. " 16,000 pounds per contanier. Whats the total landed cost per pallet

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