Transportation is the slowest but has low variable cost

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Reference no: EM132261708

1. Which of the following mode of transportation is the slowest but has a low variable cost?

A. Air

B. Water

C. Truck

D. Pipeline

2. In the freight rate classification system, which of the following factors considers the ratio of a product's weight to size?

A. Ease of handling

B. Stowability

C. Liability for loss/damage

D. Density

3. When considering different network designs for distribution, you could consider having one fulfillment center that ships directly to all customers instead of having one warehouse that ships to smaller retail locations that deal with individual subsets of customers. A benefit of having a fulfillment center that always holds true is:

A. Increases variability in cumulative demand

B. Decreases overall transportation cost

C. Increases overall transportation cost

D. Decreases level of safety stock needed

4. Which of the following is true?

A. As the distance a shipment must travel increases, the rate charged for the shipment decreases

B. As the amount of inventory shipped increases, the overall holding cost decreases

C. As the value of the item being shipped increases, the rate charged for the shipment decreases

D. As the size of a shipment increases, the rate charged for the shipment decreases

5. Which of the following methods covered this semester is also a valid method for evaluating transportation carriers?

A. newsvendor model

B. cost profit volume analysis

C. Weighted average method

D. auction

Reference no: EM132261708

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