Business, 16.04.2020 02:55, beaniewastaken

The Prompt Corporation purchases product from two suppliers, A and B. Supplier A is located in Austin TX, and supplier B in Carthage, TN. Supplier A supplies component a and supplier B supplies component b. These components are used to make gizmos of two types, I and II. Gizmo I is made in Helena, MT. and Gizmo Il is made in Duluth, MN. Each manufacturing plant makes 50 gizmos a day. Each gizmo requires unit each of components a and b.

Currently loads are shipped full truckload from suppliers directly to plants. Trucks used have a capacity of 500 units and cost $2,500 per truckload shipped. Holding cost per component per day is $0.50. Transit time per route is 4 days.

a. Provide the total supply chain costs for this system.

b. Prompt has realized that it can obtain larger trucks with a capacity of 1,000 units for a cost of $3,500 per route and the same transit time of 4 days per route. If Prompt has these trucks should all shipments be full truckload or less-than-full truckload? What will be the associated total supply chain costs to use these trucks with the appropriate level of loads on these trucks? Are the costs lower than (3a)? Explain why or why not.

Answers: 1

Show answers

Other questions on the subject: Business

Business, 21.06.2019 13:10, aaron2113

At the end of the year, blossom co. has pretax financial income of $561,000. included in the $561,000 is $73,000 interest income on municipal bonds, $25,000 fine for dumping hazardous waste, and depreciation of $64,400. depreciation for tax purposes is $48,300. compute income taxes payable, assuming the tax rate is 30% for all periods.

Answers: 2

continue

Business, 22.06.2019 04:10, maddylaugh

Lynch company manufactures and sells a single product. the following costs were incurred during the company’s first year of operations: variable costs per unit: manufacturing: direct materials $ 12 direct labor $ 6 variable manufacturing overhead $ 1 variable selling and administrative $ 1 fixed costs per year: fixed manufacturing overhead $ 308,000 fixed selling and administrative $ 218,000 during the year, the company produced 28,000 units and sold 15,000 units. the selling price of the company’s product is $56 per unit. required: 1. assume that the company uses absorption costing: a. compute the unit product cost. b. prepare an income statement for the year. 2. assume that the company uses variable costing: a. compute the unit product cost. b. prepare an income statement for the year.

Answers: 1

continue

Business, 23.06.2019 06:00, lover23707

Before setting your prices, it's wise to a. subtract your profit margin from your costs. b. research industry standards. c. memorize the formula for cost plus. d. ignore your competitors' prices.

Answers: 1

continue

Business, 23.06.2019 23:30, genyjoannerubiera

Question 1 is the process of moving the organization toward its vision. a. strategic planning b. contingency planning c. security planning d. enterprise information planning

Answers: 1

continue

Do you know the correct answer?

The Prompt Corporation purchases product from two suppliers, A and B. Supplier A is located in Austi...