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LM . 9 1 XYZ Company is rethinking the way it ships to its 5 2 customers in another city 2 2 4 miles away.
LM XYZ Company is rethinking the way it ships to its customers in another city miles away.
Current ShippingDelivery Method
They currently hire an LTL lessthantruckload carrier to pick up and deliver these shipments. Each customer order shipped via LTL carrier costs $
Alternate ShippingDelivery Method
A PL thirdparty logistics provider has approached XYZ Company and suggested that they make full truckload TL shipments from their facility to the PLs
warehouse in the customers' city. The PL would then break the bulk shipment TL or truckload shipment into individual customer orders to be shipped
locally by an LTL carrier. The relative data for this alternate shipping method are as follows:
Full TL shipment cost miles$
Average weight per customer order
Warehouse breakbulk fee per lbs aka per "hundred weight"$
Local LTL delivery fee per customer order$
What is the total cost of delivering to all customers via LTL carrier current methodDisplay your answer as a whole number.
How much money would XYZ company save by using the alternate shippingdelivery method for delivery to all customers? Display your answer as a whole
number.
At what number of customers would the cost of these two methods be the same? Display your answer as a whole number.
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