please help asap!

Team work 1 The choice of transportation mode The Carry- All luggage Company produces a line of luggage goods. The typical distribution plan is to produce a finished goods inventory located at the plant site carierhen shipped to company-owned field warehouses by way of common Rail is currently used to ship between East Coast plant and West Coast warehouse. The average transit time for rail shipments is 21 days. At each stocking point there is an average of 100 000 anits of luggage having an average production cost ofi(so USD per unit. Inventory holding costs are 30 %per year. There are 700 000 units sold per year out of the West Coast warehous Company is not sure that transportation by trains was the best decision It's obvious that acceleration of transportation and as result of that increasing shipments frequency must lead to proportional reduction of inventories on both sites of logistics chain. At the same time the fraction of yearly consumption which will be transit (" inventory in transit" ) although decreases The company can use the following transport services Number of shipments per year Transport Rate Transit time ($ / unit ) (days ) 21 14 Rail Piggyback Truck 0.10 0.15 0.20 1.40 10 20 20 40 ir 2 Assignment You are asked to help company to make right decision in transportation choice. Ordering costs are assumed to be negligible