Suppose that a customer were to purchase from Colonial Originals a furniture kit that has a catalog price of $99.95 and a shipping weight of 26.5 pounds.
a. Using Table 3-3, determine the total cost of the kit if delivery is to be made by UPS residential ground service to one of the following zip code areas in the United States:
(i) 11101, (ii) 42117, (iii) 74001, (iv) 59615
b. What can you say about the fairness and efficiency of this pricing arrangement?