ABF needs to deliver an important LTL shipment in 6 days. If the delivery is 2 days late then ABF is charged a penalty of $500. The cost of the shipment is $3,200 and costs decrease at a rate of $100 for every day deviation from the target delivery time. 1) What delivery time minimizes ABF's costs? a. 6.4 days b. 6.7 days c. 7.3 days d. 6 days e. 7 days f. 7.5 days 2) What is the Taguchi Loss cost if ABF delivers at the target delivery time? a. $2,600 b. $3,200 c. $500 d. $0 e. $3,700 f. $3,100 g. $100

ABF needs to deliver an important LTL shipment in 6 days. If the delivery is 2 days late then ABF is charged a penalty of $500. The cost of the shipment is $3,200 and costs decrease at a rate of $100 for every day deviation from the target delivery time. 1) What delivery time minimizes ABF's costs? a. 6.4 days b. 6.7 days c. 7.3 days d. 6 days e. 7 days f. 7.5 days 2) What is the Taguchi Loss cost if ABF delivers at the target delivery time? a. $2,600 b. $3,200 c. $500 d. $0 e. $3,700 f. $3,100 g. $100

Advanced Engineering Mathematics

10th Edition

ISBN:9780470458365

Author:Erwin Kreyszig

Publisher:Erwin Kreyszig

Chapter2: Second-order Linear Odes

Section: Chapter Questions

Problem 1RQ

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Question

1) What delivery time minimizes ABF's costs?

a. 6.4 days

b. 6.7 days

c. 7.3 days

d. 6 days

e. 7 days

f. 7.5 days

2) What is the Taguchi Loss cost if ABF delivers at the target delivery time?

a. $2,600

b. $3,200

c. $500

d. $0

e. $3,700

f. $3,100

g. $100

Please show all the works.

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