Your options for shipping $100,000 of machine parts from Baltimore to Kuala Lumpur, Malaysia, are (1) use a ship that will take 30 days at a cost of $3,800, or (2) truck the parts to Los Angeles and then ship at a total cost of $4,800. The second option will take only 20 days You are paid via a letter of credit the day the parts arrive. Your holding cost is estimated at 30% of the value per year. If you have a third option and it costs only $4,000 and also takes 20 days, what is your most economical plan? Assume 365 days per year. The daily holding cost of Alternative 1 is $ 82.19 . (Enter your response rounded to two decimal places.) The daily cost of faster shipping with Alternative 2 is $ 100.00'. (Enter your response rounded to two decimal places.) The daily cost of faster shipping with Alternative 3 is S| (Enter your response rounded to two decimal places.)

Your options for shipping $100,000 of machine parts from Baltimore to Kuala Lumpur, Malaysia, are (1) use a ship that will take 30 days at a cost of $3,800, or (2) truck the parts to Los Angeles and then ship at a total cost of $4,800. The second option will take only 20 days You are paid via a letter of credit the day the parts arrive. Your holding cost is estimated at 30% of the value per year. If you have a third option and it costs only $4,000 and also takes 20 days, what is your most economical plan? Assume 365 days per year. The daily holding cost of Alternative 1 is $ 82.19 . (Enter your response rounded to two decimal places.) The daily cost of faster shipping with Alternative 2 is $ 100.00'. (Enter your response rounded to two decimal places.) The daily cost of faster shipping with Alternative 3 is S| (Enter your response rounded to two decimal places.)

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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