1. A road network is shared between cars, bus, shuttle, LTL, and trucks. The network and costs are as follows. a. Which route the car would take? b. What would be the fixed and variable cost for A-C (consider the lowest cost)? c. Find minimum allocation costs by eliminating LTL? Is eliminating the LTL economical? d. Find minimum allocation costs by eliminating Truck? Is eliminating the Truck economical? B Shuttle Bus Car A Truck LTL D Movement Service Variable cost Fixed cost 15 A-B B-C A-C Bus |Shuttle 10 Car Truck 8 A-D 15 D-C LTL 18 10

Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter2: Introduction To Spreadsheet Modeling
Section: Chapter Questions
Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...
icon
Related questions
Question
4
1. A road network is shared between cars, bus, shuttle,
LTL, and trucks. The network and costs are as follows.
a. Which route the car would take?
b. What would be the fixed and variable cost for A-C
(consider the lowest cost)?
c. Find minimum allocation costs by eliminating
LTL? Is eliminating the LTL economical?
d. Find minimum allocation costs by eliminating
Truck? Is eliminating the Truck economical?
B
Shuttle
Bus
Car
C
A
Truck
LTL
D
Movement Service Variable cost Fixed cost
15
A-B
B-C
Bus
|Shuttle 10
Car
Truck 8
LTL
A-C
A-D
15
D-C
18
10
Transcribed Image Text:1. A road network is shared between cars, bus, shuttle, LTL, and trucks. The network and costs are as follows. a. Which route the car would take? b. What would be the fixed and variable cost for A-C (consider the lowest cost)? c. Find minimum allocation costs by eliminating LTL? Is eliminating the LTL economical? d. Find minimum allocation costs by eliminating Truck? Is eliminating the Truck economical? B Shuttle Bus Car C A Truck LTL D Movement Service Variable cost Fixed cost 15 A-B B-C Bus |Shuttle 10 Car Truck 8 LTL A-C A-D 15 D-C 18 10
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 4 steps with 1 images

Blurred answer
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Practical Management Science
Practical Management Science
Operations Management
ISBN:
9781337406659
Author:
WINSTON, Wayne L.
Publisher:
Cengage,
Operations Management
Operations Management
Operations Management
ISBN:
9781259667473
Author:
William J Stevenson
Publisher:
McGraw-Hill Education
Operations and Supply Chain Management (Mcgraw-hi…
Operations and Supply Chain Management (Mcgraw-hi…
Operations Management
ISBN:
9781259666100
Author:
F. Robert Jacobs, Richard B Chase
Publisher:
McGraw-Hill Education
Business in Action
Business in Action
Operations Management
ISBN:
9780135198100
Author:
BOVEE
Publisher:
PEARSON CO
Purchasing and Supply Chain Management
Purchasing and Supply Chain Management
Operations Management
ISBN:
9781285869681
Author:
Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson
Publisher:
Cengage Learning
Production and Operations Analysis, Seventh Editi…
Production and Operations Analysis, Seventh Editi…
Operations Management
ISBN:
9781478623069
Author:
Steven Nahmias, Tava Lennon Olsen
Publisher:
Waveland Press, Inc.