operations management 3
claton3
Problem 151
A manager at Strateline Manufacturing must choose between two shipping alternatives: twoday freight and fiveday freight. Using fiveday freight would cost $147 less than using twoday freight. The primary consideration is holding cost, which is $10 per unit a year. 2,760 items are to be shipped. 
Which alternative would you recommend? (Round your intermediate calculations to 2 decimal places.) 

Problem 153
A manager must make a decision on shipping. There are two shippers, A and B. Both offer a twoday rate: A for $502 and B for $520. In addition, A offers a threeday rate of $470 and a nineday rate of $401, and B offers a fourday rate of $455 and a sevenday rate of $436. Annual holding costs are 39 percent of unit price. Four hundred and ten boxes are to be shipped, and each box has a price of $144. Which shipping alternative would you recommend? (Round your intermediate calculations to 3 decimal places and final answers to 2 decimal places. Omit the "$" sign in your response.) 
A  B  
Option  Cost  Option  Cost  
2 days  $ [removed]  2 days  $ [removed]  
3 days  $ [removed]  4 days  $ [removed]  
9 days  $ [removed]  7 days  $ [removed]  

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