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Part c :- How high would the warehousing cost (currently $60 per hundred-weight) have to be before break-bulk warehousing is no more attractive than direct
Part c :- How high would the warehousing cost (currently $60 per hundred-weight) have to be before break-bulk warehousing is no more attractive than direct shipments? Need help with part b and c both
Astro Industries of Minneapolis, Minnesota, makes weekly shipments to 10 customers in the Dallas area. Each customer's order weighs, on average 2.000 pounds. A direct truck shipment from Minneapolis to Dallas costs $1,700. The maximum load per truck is 50,000 pounds. a. The total cost for Astro to make direct, single-order shipments to all of its customers is $ 17000 per week. (Enter your response as a whole number.) The average truck utilization level for the single-order shipment option is 400 % (Enter your response rounded to one decimal place.) b. Suppose a Dallas-based warehousing firm has agreed to run a broak-bulk warehousing operation for Astro at a cost of $60 por hundred-weight. Local deliveries to each customer would tack on another $300 per customer per week The total cost of the break-bulk warehousing option is $ per week. (Enter your response as a whole number)Step by Step Solution
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