Question: 2 2 A manager must make a decision on delivery alternatives. There are two carriers. A and B. Both offer a two-day rate. In addition,

2 2 A manager must make a decision on delivery
2 2 A manager must make a decision on delivery alternatives. There are two carriers. A and B. Both offer a two-day rate. In addition, A offers a three-day rate and a nine-day rate, and offers a four-day rate and a seven-day rate. Three hundred boxes are to be delivered and the freight cost for the whole lot for each option is given below. Annual holding cost is 30 percent of unit cost, and each box has a cost of $200. Assume 365 days per year. Which delivery alternative would you recommend? Carrier A Carrier Options Freight Cost Options Freight Cost 2 days 5520 2 days $510 3 days 4 days 480 9 days 190 410 Carrier A Carrier Delivery alternative Click to select) Click to select

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