Annual holding costs are 37 of unit price. three hundred, Ask an Expert

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Q. A manager must make a decision on shipping. There are 2 shippers, A also B. Both offer a 2-day rate: A for $536 also B for $525. In addition, A offers a 3-day rate of $464 also a nine-day rate of $416 also B offers a four-day rate of $459 also a seven-day rate of $436. Annual holding costs are 37 % of unit price. Three hundred also ninety boxes are to be shipped also every box has a price of $154. Which shipping alternative would you recommend?

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Operation Management, Management Studies

Category:- Operation Management
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