Question: A manager must make a decision on shipping. There are two shippers: A and B. Both offer a two-day rate: A for $540, and B

A manager must make a decision on shipping. There are two shippers: A and B. Both offer a two-day rate: A for $540, and B for $523. In addition, A offers a three-day rate of $474 and a nine-day rate of $403, and B offers a four-day rate of $451 and a seven-day rate of $422. Annual holding costs are 36 percent of unit price. Four hundred and twenty boxes are to be shipped, and each box has a price of $150. Which shipping alternative would you recommend? (Round your intermediate calculations to 3 decimal places and final answers to 2 decimal places.)

A manager must make a decision on shipping. There

Option 2 days 3 days 9 days A Cost Option 2 days 4 days 7 days B Cost

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