Four hundred and ten boxes are to be shipped and each box


A manager must make a decision on shipping. There are two shippers, A and B. Both offer a two-day rate: A for $538 and B for $529. In addition, A offers a three-day rate of $472 and a nine-day rate of $406, and B offers a four-day rate of $455 and a seven-day rate of $428. 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 $156. Which shipping alternative would you recommend? (Round your intermediate calculations to 3 decimal places and final answers to 2 decimal places. Omit the "$" sign in your response.) A B Option Cost Option Cost 2 days $ 2 days $ 3 days $ 4 days $ 9 days $ 7 days $ Ship two-day using B Ship four-day using B Ship seven-day using B Ship two-day using A Ship three-day using A.

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Operation Management: Four hundred and ten boxes are to be shipped and each box
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