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Refer to the figure below. Suppose a fleet of 1 0 0 automobiles is to be shipped from an assembly plant in town A to

Refer to the figure below. Suppose a fleet of

100

automobiles is to be shipped from an assembly plant in town A to town D

.

They may be shipped either by freight train along Route

1

at a cost of

62 /

mile per automobile or by truck along Route

2

at a cost of

60 /

mile per automobile. Which means of transportation minimizes the shipping cost?What is the net savings?

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