Question: Part B. Quantitative questions (round decimals to the nearest tenth) (100 points). 1. (40 points) You are the transportation manager for Tom's, a motorcycle motors


Part B. Quantitative questions (round decimals to the nearest tenth) (100 points). 1. (40 points) You are the transportation manager for Tom's, a motorcycle motors manufacturer. You need to decide the best mode of transportation to ship your motors. You ship your motors to a motor distributor, and have the option of Rail, Truck or Intermodal. Using the information in the table below. What is the least expensive transportation option for Tom's? Rail Lead time (T) 10 days Shipping rate (R) $18.00 per unit Shipping quantity (O) 12,000 units Truck Lead time (1) 6 days Shipping rate (R) $25.00 per unit Shipping quantity (Q) 7,000 units Annual demand (7.) 60,000 units per year Product cost (c) $525.00 per unit (delivered cost) Inventory holding cost (h) 20% per year per dollar of average inventory a. (30 points, 15 points for each mode) Calculate the logistic costs for Tom's and for the motor distributor and Use the table below to construct and summarize your analysis. Show process in the next page. Rail Cost Truck Transportation In-transit Inventory holding cost Tom's cycle stock holding cost Tom's Total logistics cost Motor distributor's Cycle stock holding cost Supply Chain Total Logistics Cost b. (5 points) What is the less expensive transportation option for Tom's? c. (5 points) Which is the better mode of transportation if Tom wants to take into consideration the total supply chain logistics costs? Part B. Quantitative questions (round decimals to the nearest tenth) (100 points). 1. (40 points) You are the transportation manager for Tom's, a motorcycle motors manufacturer. You need to decide the best mode of transportation to ship your motors. You ship your motors to a motor distributor, and have the option of Rail, Truck or Intermodal. Using the information in the table below. What is the least expensive transportation option for Tom's? Rail Lead time (T) 10 days Shipping rate (R) $18.00 per unit Shipping quantity (O) 12,000 units Truck Lead time (1) 6 days Shipping rate (R) $25.00 per unit Shipping quantity (Q) 7,000 units Annual demand (7.) 60,000 units per year Product cost (c) $525.00 per unit (delivered cost) Inventory holding cost (h) 20% per year per dollar of average inventory a. (30 points, 15 points for each mode) Calculate the logistic costs for Tom's and for the motor distributor and Use the table below to construct and summarize your analysis. Show process in the next page. Rail Cost Truck Transportation In-transit Inventory holding cost Tom's cycle stock holding cost Tom's Total logistics cost Motor distributor's Cycle stock holding cost Supply Chain Total Logistics Cost b. (5 points) What is the less expensive transportation option for Tom's? c. (5 points) Which is the better mode of transportation if Tom wants to take into consideration the total supply chain logistics costs
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