8. Suppose that the sausage sticks for the 300 daily cheese and sausage deluxe boards is delivered...

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8. Suppose that the sausage sticks for the 300 daily cheese and sausage deluxe boards is delivered once per week and one delivery costs $50. A week’s supply of sausage sticks is valued at $400 and the cost of capital is 15 percent. Further suppose that the invoice for sausage sticks is paid immediately. What would be the costs and benefits of having the supplier deliver monthly and where payment is made by Marie immediately upon use? (Assume there are 4 weeks in the month.)

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Manufacturing Planning And Control For Supply Chain Management The CPIM Reference

ISBN: 9781265138516

3rd Edition

Authors: F. Robert Jacobs, William Lee Berry, D. Clay Whybark, Thomas E. Vollmann

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