Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Please show me how you did on excel with the formula to understand where the solutions come from. LM.91 XYZ Company is rethinking the way

image text in transcribed

Please show me how you did on excel with the formula to understand where the solutions come from.

LM.91 XYZ Company is rethinking the way it ships to its 63 customers in another city 265 miles away. Current Shipping/Delivery Method They currently hire an LTL (less-than-truckload) carrier to pick up and deliver these shipments. Each customer order shipped via LTL carrier costs $166. Alternate Shipping/Delivery Method A 3PL (third-party logistics provider) has approached XYZ Company and suggested that they make full truckload (TL) shipments from their facility to the 3PL's warehouse in the customers' city. The 3PL 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 (265 miles) = $825 Average weight per customer order = 590 lbs. Warehouse break-bulk fee (per 100 lbs., a.k.a. per "hundred weight") = $20 Local LTL delivery fee (per customer order) = $27 What is the total cost of delivering to all customers via LTL carrier (current method)? (Display your answer as a whole number.) Nmero How much money would XYZ company save by using the alternate shipping/delivery method for delivery to all customers? (Display your answer as a whole number.) Nmero At what number of customers would the cost of these two methods be the same? (Display your answer as a whole number.) Nmero

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

Accounting The Ultimate Guide To Accounting Principles

Authors: Greg Shields

1st Edition

1722964839, 978-1722964832

More Books

Students also viewed these Accounting questions