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Speed Mart has eight stores in Kluang district supplied from four supply sources. Trucks have a capacity of 40,000 units and cost RM1,000 per

     

Speed Mart has eight stores in Kluang district supplied from four supply sources. Trucks have a capacity of 40,000 units and cost RM1,000 per delivery. The cost of holding one unit in inventory at retail for a year is RM0.20. Each delivery is considered Full Truck Load (TL) and using 'Direct Shipment Network'. If annual sales for each product at each retail store are 960,000 units; Analyze: (i) Number of deliveries per year from each supplier to each store. (4 marks) (ii) Annual trucking cost from one source to eight stores for direct network. (4 marks) (iii) Annual trucking cost from all sources to all stores for direct network. (4 marks)

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