Question: LM . 9 7 Each week the ABC Company, from Albuquerque, NM receives 7 9 separate parcel shipments from a number of different suppliers in
LM Each week the ABC Company, from Albuquerque, NM receives separate parcel shipments from a number of different suppliers in the Dallas, TX
area. Each parcel shipment from Dallas to Albuquerque costs $
Alternate Shipping Method
A Dallasbased PL provider has approached ABC Company with a proposal to run a consolidation operation where they would pick up the
supplier shipments each week and load them on to one truck for shipment to Albuquerque. The relative data for this alternative shipping method are as
follows:
Local pickup fee $ pickup fee
Average weight per supplier shipment
Local consolidation fee $ per hundredweight
Consolidated TL shipment from Dallas to Albuquerque $
What is the total cost of shipping the separate parcel shipments from the Dallasarea suppliers to the ABC company location in Albuquerque? Display your
answer as a whole number.
How much money would ABC Company save to hire the PL to pickup the shipments from each supplier and consolidate them into one bulk shipment to
Albuquerque? Display your answer as a whole number.
At what number of shipments is the cost the same for the two options? Display your answer as a whole number.
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