OPERATIONS MANAGEMENT CUSTOM ACCESS
OPERATIONS MANAGEMENT CUSTOM ACCESS
11th Edition
ISBN: 9780135622438
Author: KRAJEWSKI
Publisher: PEARSON EDUCATION (COLLEGE)
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Chapter 13, Problem 19P

A

Summary Introduction

Case Summary: To get maximum profit during choose an ideal plant location; shipping cost is the huge expense in a business organization. Before calculating the shipping cost, the cost should be reduced to progress of business. Several factors like package dimensions, weight, and shipping destination must be considered.

Interpretation:the reason forthe logistic manager should not increase the budget.

B

Summary Introduction

Case Summary: To get maximum profit during choose an ideal plant location; shipping cost is the huge expense in a business organization. Before calculating the shipping cost, the cost should be reduced to progress of business. Several factors like package dimensions, weight, and shipping destination must be considered.

Interpretation: The budget amount for increasing the shipping cost

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A company has a contract to move 700 units of a product per day between three plants A, B, and C, and three destinations, X, Y, and Z. Cost (in hundreds of pesos) and volume information are given below. Compute the optimal transportation cost.
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