Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

My needs your help to determine the best of 3 alternatives for large bulk shipments either by rail or using trucks with portable cargo containers.

image text in transcribed
image text in transcribed
My needs your help to determine the best of 3 alternatives for large bulk shipments either by rail or using trucks with portable cargo containers. 1. Std boxcars: Attractive price but you often wait for 3 to 5 days for a boxcar to be delivered the interiors washed down before loading could begin. This would cause an additional 1 day delay. 2. Leased boxcars: The rail company would maintain 2 boxcars on your siding during the year and there would no waiting time for delivery. Loading could begin immediately. Products would require transport from your loading docks to the railway siding at the back of your facility. 3. Cargo containers: A half dozen containers could be posted right outside the shipping docks and loaded immediately. Pick up for transport would be guaranteed within 24 hrs of being called to ship. Six cargo containers have the equivalent capacity of 1 boxcar. Your Production Planning Dept has developed projections for the possible number of factory shipments. They supplied a range from low (25%) to medium (60%) to high (15%) for the number of outbound shipments. Using decision tree analytics, complete the table values. On the answer sheet, do not use any units or symbols (\%, \$ etc). Enter numbers only for the 3 questions. Find the best solution for transport with the data given. The low, med, and high probabilities are 25%,60%, and 15%. Find the EV: 1. Std boxcar 2. Leased boxcar 3. Containers Which is the best EV choice? Box car

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Linear Optimization And Duality A Modern Exposition

Authors: Craig A. Tovey

1st Edition

1439887462, 9781439887462

More Books

Students also viewed these General Management questions

Question

Team members should post roughly twice per week.

Answered: 1 week ago