1. A road network is shared between cars, bus, shuttle, LTL, and trucks. The network and costs are as follows. a. Which route the car would take? b. What would be the fixed and variable cost for A-C (consider the lowest cost)? c. Find minimum allocation costs by eliminating LTL? Is eliminating the LTL economical? d. Find minimum allocation costs by eliminating Truck? Is eliminating the Truck economical? B Shuttle Bus Car A Truck LTL D Movement Service Variable cost Fixed cost 15 A-B B-C A-C Bus |Shuttle 10 Car Truck 8 A-D 15 D-C LTL 18 10
1. A road network is shared between cars, bus, shuttle, LTL, and trucks. The network and costs are as follows. a. Which route the car would take? b. What would be the fixed and variable cost for A-C (consider the lowest cost)? c. Find minimum allocation costs by eliminating LTL? Is eliminating the LTL economical? d. Find minimum allocation costs by eliminating Truck? Is eliminating the Truck economical? B Shuttle Bus Car A Truck LTL D Movement Service Variable cost Fixed cost 15 A-B B-C A-C Bus |Shuttle 10 Car Truck 8 A-D 15 D-C LTL 18 10
Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter2: Introduction To Spreadsheet Modeling
Section: Chapter Questions
Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...
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Transcribed Image Text:1. A road network is shared between cars, bus, shuttle,
LTL, and trucks. The network and costs are as follows.
a. Which route the car would take?
b. What would be the fixed and variable cost for A-C
(consider the lowest cost)?
c. Find minimum allocation costs by eliminating
LTL? Is eliminating the LTL economical?
d. Find minimum allocation costs by eliminating
Truck? Is eliminating the Truck economical?
B
Shuttle
Bus
Car
C
A
Truck
LTL
D
Movement Service Variable cost Fixed cost
15
A-B
B-C
Bus
|Shuttle 10
Car
Truck 8
LTL
A-C
A-D
15
D-C
18
10
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