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Canberra Freight is in charge of transporting auto parts for a US car manufacturer in Australia. Every week a tractor and one or two trailers move from the port of Melbourne to a warehouse located 430 km away. A tractor costs $75 per day, a trailer $30, a driver $7.5 per hour while running costs are $0.75 per kilometer. A trailer can contain 36 pallets. Derive the transportation cost per pallet as a function of shipment size for the case where one or two trailers are used.

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Management Theories, Management Studies

Category:- Management Theories
Reference No.:- M92728140

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