Total cost of shipping the separate parcel shipments

Reference no: EM132136103

Each week the ABC Company, from Albuquerque, NM receives 58 separate LTL shipments from a number of different suppliers in the Dallas, TX area. Each parcel shipment from Dallas to Albuquerque costs $102.

Alternate Shipping Method

A Dallas-based 3PL provider has approached ABC Company with a proposal to run a consolidation operation where they would pick up the supplier shipments each week and load them on to one truck for shipment to Albuquerque. The relative data for this alternative shipping method are as follows:

Local pickup fee = $31 pickup fee

Average weight per supplier shipment = 128 lbs.

Local consolidation fee = $37 per hundred-weight

Consolidated TL shipment from Dallas to Albuquerque = $987

What is the total cost of shipping the separate parcel shipments from the Dallas-area suppliers to the ABC company location in Albuquerque? (Display your answer as a whole number.)

How much money would ABC Company save to hire the 3PL to pickup the shipments from each supplier and consolidate them into one bulk shipment to Albuquerque? (Display your answer as a whole number.)

At what cost for local pickup does the cost of the two options become the same? (Display your answer to two decimal places.)

Reference no: EM132136103

Questions Cloud

Difference in the behaviors of employees and managers : The types of performance metrics make a big difference in the behaviors of employees and managers.

What training methods are used by employers : What training methods are used by employers and how are they implemented? What makes them good or bad?

Think the future of international media holds : What do you think the future of international media holds?

Willingness of participants as you think about training : Develop a personal reflection based upon the two tenets of ability and willingness of participants as you think about training.

Total cost of shipping the separate parcel shipments : What is the total cost of shipping the separate parcel shipments from the Dallas-area suppliers to the ABC company location in Albuquerque?

Were the reasons for arshad disillusionment : What, according to you, were the reasons for Arshad’s disillusionment? Answer the question using Maslow’s Hierarchy of Needs.

Consider new pizza restaurant opening near your campus : Why is it difficult to determine reference prices? Consider a new pizza restaurant opening near your campus.

Write the document about optimizing yourself for successes : Write the document about Optimizing Yourself for Successes (Management Consulting). How is the Banking industry viewed from a personal angle?

Evaluate the performance of people working in jobs : What sources could be used to evaluate the performance of people working in the following jobs?

User Account

All Pages