plz just solve question number 5

SCM 301 Case Study Assignment 1 (5 Marks) CLO Covered: S2.2 Analyze the available transportations choices for a given corporation: Transportation risks, costing and pricing. Alex Delvecchio is the senior electronics buyer for MegaShop, a discount chain with 1,800 stores in Canada, Mexico, and the United States. In preparation for the upcoming holiday season, Alex was reviewing the supplier options for digital camera model JX-25 sold under the MS Platinum private label. This particular model of camera is forecast to sell 40,000 units over the next 12 months. He had received three proposals from suppliers in different countries. They were all reasonably priced, high quality cameras and worthy of further study, but Alex had some concerns about issues of delivery costs, risks, and foreign exchange rate exposure. Option 1-Continue to purchase cameras from Shinko Electric in Nagano, Japan. Product has been sourced from Shinko for the past 12 years. Sales have historically been on an open account, thereby simplifying the relationship. Quarterly shipments of 9,000 units are made in 40 -foot containers under terms Incoterm CPT, Port of Long Beach. The price offered per unit for the upcoming holiday season is 19,500 JPY (Japanese Yen). Option 2-purchase the cameras from Deep Impex, a Delhi, India-based manufacturer. Deep Impex has a solid reputation in the electronics industry and Alex nearly purchased cameras from them last year. Their offer is based on MegaShop taking a monthly delivery of 4,500 units in 20-foot containers under Incoterm FAS, Port of Mumbai. The price offered for the next year is 9,500 INR (Indian Rupees). Option 3-purchase the cameras from Foto Technika, a distributor in Odessa, Ukraine. Foto Technika sources cameras from small contract manufacturers in Eastern Europe. Their offer is based on MegaShop taking a monthly delivery of 4,000 units in 20 -foot containers under Incoterm EXW, Odessa (the Foto Technika distribution centre). The price offered for the next year is \$200 USD (U.S. Dollars). As Alex considered his options, he consulted an online currency converter to evaluate the price offers. He found the following exchange rates: 1 USD = 146 Japanese Yen JYN 1 USD =82.38 Indian Rupees INR 1 USD =36.94 UAH (Ukraine Hryvnia) After going through the Case study and Electronic Resources, Answer the following Questions: 1. What is the current price per camera in USD for the Shinko Electric offer? What costs, responsibilities, and risks does MegaShop (the buyer) assume under CPT, Port of Long Beach? 19,500jpy/9000 unit 40,000=86666.6666jpy/146=593.607359 US (1 mark) 2. What is the current price per camera in USD for the Deep impex offer? What costs, responsibilities, and risks does MegaShop (the buyer) assume under FAS, Port of Mumbai? 9,500iNR/4,500uit* 40,000 unit =84444.444441NR/82.38=1025.06002 US (1 mark) 3. What is the current price per camera in USD for the Foto Technika offer? What costs, responsibilities, and risks does Megashop (the buyer) assume under EXW, Odessa Distribution Center? 2005/40000 unit 40.000 unit =2000$ ( 1 mark) Risk of transportation the good to the destination Responsibility is to make the shipment available at it's facility The costs that the buyer is responsible for are unloading the main carrier-cargo insurance - import clearance, paying duty\& taxes -transport from port to destination. 4. What other transportation costs and issues must Alex consider to make an effective supplier selection? -Reduce service and shipping costs: When comparing suppliers, don't just count the value of the goods. Consider expenses related to logistics and shipping, which may increase prices that initially seemed attractive. -Team help: Finally, if your company needs to cut costs, make that need known to your team. Together, employees can implement several ways to save money, by turning off unused devices, digitizing documents, and so on. The most important thing is to notify them so that the goals are common and easy to achieve Inventory: -Analyze and identify the products that customers do not buy and reduce their production. Having slow draining stocks leads to financial losses, because commodities take up space and can spoil over time. (1 mark) 5. Which of the three options would you recommend? Why? ( 1 mark)