Question: SECTION A SHORT QUESTIONS (Task 1) (35) You own a warehouse next to the airport in Cape town. A load of flowers needs to be

SECTION A SHORT QUESTIONS (Task 1) (35) You own a warehouse next to the airport in Cape town. A load of flowers needs to be transported to OR Tambo airport. You must decide which transport method to use, road transport or air transport. 1.1 Road transport cost R20 per kilometer Insurance cost R500 per hour (the moment the stock is in transit) Air transport cost R27 per kilometer Insurance cost R500 per hour (the moment the stock is in transit) Do a cost and risk analysis and decide on a transport mode, motivate your decision? Show calculations on both road freight and air freight. (15)

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