Question: A manager at Strateline Manufacturing must choose between two shipping alternatives: two-day freight and five-day freight. Using five-day freight would cost $205 less than using

A manager at Strateline Manufacturing must choose between two shipping alternatives: two-day freight and five-day freight. Using five-day freight would cost $205 less than using two-day freight. The primary consideration is holding cost, which is $9 per unit a year. 2,425 items are to be shipped.

What is the total incremental holding cost of holding the items for three additional days? $ (Do not round your intermediate calculations. Round your final answer to a whole dollar amount.)

Which alternative would you recommend?

multiple choice

Five-day freight
Two-day freight

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related General Management Questions!

On March 1, Derby Corporation (a U.S.-based company) expects to order merchandise from a supplier in Norway in three months. On March 1, when the spot rate is $0.10 per Norwegian krone, Derby enters...

A manager at Strateline Manufacturing must choose between two shipping alternatives: two-day freight and five-day freight. Using five-day freight would cost $ 135 less than using two-day freight. The...

(6 bookmarks A manager at Strateline Manufacturing must choose between two shipping alternatives; two-day freight and five-day freight Using five-day freight Using 5 day freight would cost $135 less t

15-1) A manager at Strateline Manufacturing must choose between two shipping alternatives: two-day freight and five-day freight. Using five-day freight would cost $143 less than using two-day...

manager at Strateline Manufacturing must choose between two shipping alternatives: two - day freight and five - day freight. Using ve - day freight would cost $ 1 7 0 less than using two - day...

A manager at Strateline Manufacturing must choose between two shipping alternatives: two-day freight and five-day freight. Using five-day freight would cost $ \$ 205 $ less than using two-day freigh

A manager at Strateline Manufacturing must choose between two shipping alternatives: two-day freight and five-day freight. Using five-day freight would cost $175 less than using two-day freight. The p

A manager at Strateline Manufacturing must choose between two shipping aitematives two-day freight and five-day freight. Using flve-doy freight would cost $130 less then using two-dey freight. The...

A manager at Strateline Manufacturing must choose between two shipping alternatives: two - day freight and six - day frelght Using sixday freight would cost $ 1 1 0 less than using two - day freight....

Al Baik must ship replacement parts for their ovens, and the supply chain manager must choose between two shipping alternatives: two-day freight, and five-day freight. Using five-day freight saves...

Beer and pizza are complements because they are often enjoyed together. When the price of beer rises, what happens to the supply, demand, quantity supplied, quantity demanded, and the price in the...

The semimajor axis of Ganymede, a moon of Jupiter discovered by Galileo, is 1.07 x 10 6 km, and its period is 7.155 days. Determine the mass of Jupiter.

List the key social and economic conditions today that will suggest that the popularity of gaming in the United States will not end with a significant decline.

atch the compensation objectives with their meanings. Efficiency Efficiency drop zone empty. Fairness Fairness drop zone empty. Compliance Compliance drop zone empty. Improving performance and...