Before the changes in packaging, shipping costs are $ 1309 per month. (Enter your response rounded to two decimal places.) After the changes in packaging, shipping costs are $ per month. (Enter your response rounded to two decimal places.)

Purchasing and Supply Chain Management
6th Edition
ISBN:9781285869681
Author:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson
Publisher:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson
ChapterC: Cases
Section: Chapter Questions
Problem 5.1SC: Scenario 3 Ben Gibson, the purchasing manager at Coastal Products, was reviewing purchasing...
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The first answer is right. Can you help me with the shipping costs after the changes in packaging?

Class
50
55
60
65
70
77.5
85
92.5
100
<500 (lbs)
25.73
27.71
29.69
31.46
33.48
36.08
38.93
41.92
45.2
Matrix of Weight Breaks and Freight Class ($/cwt)
500 (lbs)
21.24
22.88
24.52
25.98
27.65
29.79
32.15
34.61
37.33
1,000 (lbs) 2,000 (lbs) 5,000 (lbs) 10,000 (lbs)
18.19
19.59
20.99
22.25
23.67
25.51
27.53
29.64
31.96
17.28
18.62
19.95
21.14
22.49
24.24
26.15
28.17
30.38
13.19
14.2
15.22
16.12
17.16
18.49
19.95
21.48
23.17
11.81
13.06
14.31
15.2
16.46
17.89
19.68
21.29
23.08
≥20,000 (lbs)
7.85
8.69
9.52
10.11
10.94
11.9
13.09
14.15
15.35
Transcribed Image Text:Class 50 55 60 65 70 77.5 85 92.5 100 <500 (lbs) 25.73 27.71 29.69 31.46 33.48 36.08 38.93 41.92 45.2 Matrix of Weight Breaks and Freight Class ($/cwt) 500 (lbs) 21.24 22.88 24.52 25.98 27.65 29.79 32.15 34.61 37.33 1,000 (lbs) 2,000 (lbs) 5,000 (lbs) 10,000 (lbs) 18.19 19.59 20.99 22.25 23.67 25.51 27.53 29.64 31.96 17.28 18.62 19.95 21.14 22.49 24.24 26.15 28.17 30.38 13.19 14.2 15.22 16.12 17.16 18.49 19.95 21.48 23.17 11.81 13.06 14.31 15.2 16.46 17.89 19.68 21.29 23.08 ≥20,000 (lbs) 7.85 8.69 9.52 10.11 10.94 11.9 13.09 14.15 15.35
Microtech Incorporated has decided to package its cell phone in a smaller, recyclable package. Additionally, the company will discontinue the practice of shipping each
phone with a 250-page user manual and instead will make the manual available online. These changes will result in a lighter, but more difficult package for shippers to
handle. The weight of each packaged phone has dropped from 1.1 pounds to 0.4 pounds as a result of these changes and the freight classification has worsened from
60 to 77.5. Use the table below to calculate the difference in Microtech's monthly shipping charges if the company ships 12,500 phones per month.
Click the icon to view the matrix of weight breaks and freight class in dollars per hundredweight (cwt).
Before the changes in packaging, shipping costs are $ 1309 per month. (Enter your response rounded to two decimal places.)
After the changes in packaging, shipping costs are $ per month. (Enter your response rounded to two decimal places.)
Transcribed Image Text:Microtech Incorporated has decided to package its cell phone in a smaller, recyclable package. Additionally, the company will discontinue the practice of shipping each phone with a 250-page user manual and instead will make the manual available online. These changes will result in a lighter, but more difficult package for shippers to handle. The weight of each packaged phone has dropped from 1.1 pounds to 0.4 pounds as a result of these changes and the freight classification has worsened from 60 to 77.5. Use the table below to calculate the difference in Microtech's monthly shipping charges if the company ships 12,500 phones per month. Click the icon to view the matrix of weight breaks and freight class in dollars per hundredweight (cwt). Before the changes in packaging, shipping costs are $ 1309 per month. (Enter your response rounded to two decimal places.) After the changes in packaging, shipping costs are $ per month. (Enter your response rounded to two decimal places.)
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