Assume that all of the information is the same as in Integrative Case 15-39, but instead of
Question:
Assume that all of the information is the same as in Integrative Case 15-39, but instead of receiving only one outside bid, Logistics receives two. The new bid is from World Services for $195 per hundred pounds. World has offered to use Air Cargo for transporting packages. Air Cargo will charge World $155 per hundred pounds. The bids from Forwarders and United Systems remain the same as in Integrative Case 15-39, $210 and $185, respectively.
Required
Which bid should Logistics Division take? Why?
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Similar to Case A the Logistics division should accept the bid from the Forwarder...View the full answer
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Related Book For 
Fundamentals of Cost Accounting
ISBN: 978-0077398194
3rd Edition
Authors: William Lanen, Shannon Anderson, Michael Maher
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