Total logistics analysis with probabilistic supply, single location. given the following data, chose a transportation mode based on total logistics cost: truck rail shipment price $2000 $2700 vehicle capacity 3200 cases 5400 cases max transit time 5 days 10 days min transit time 3 days 6 days average transit time 4 days 8 days 1 month=30.4375 days. the product to be shipped is canned fruit. the value is $20 per case. demand for the product is 1500 cases per month. interest rate is 25% per annum for inventory holding. we aim at providing a 95% service level. note: include safety stock in your calculations. assume demand is constant. assume lead-time is normal, which means that (practically) the range (i. e. max-min) of transit-time values will equal to 6 where  is standard deviation of lead time.

Suppose you win a small lottery and have the choice of two ways to be paid: you can accept the money in a lump sum or in a series of payments over time. if you pick the lump sum, you get $2,950 today. if you pick payments over time, you get three payments: $1,000 today, $1,000 1 year from today, and $1,000 2 years from today. 1) at an interest rate of 6% per year, the winner would be better off accepting the (lump sum / payments over time), since it has the greater present value. 2) at an interest rate of 9% per year, the winner would be better off accepting the (lump sum / payments over time), since it has the greater present value. 3) years after you win the lottery, a friend in another country calls to ask your advice. by wild coincidence, she has just won another lottery with the same payout schemes. she must make a quick decision about whether to collect her money under the lump sum or the payments over time. what is the best advice to give your friend? a) the lump sum is always better. b) the payments over time are always better. c) it will depend on the interest rate; advise her to get a calculator. d) none of these answers is good advice.

Oz makes lion food out of giraffe and gazelle meat. giraffe meat has 18 grams of protein and 36 grams of fat per pound, while gazelle meat has 36 grams of protein and 18 grams of fat per pound. a batch of lion food must contain at least "46,800" grams of protein and 70,200 grams of fat. giraffe meat costs $1/pound and gazelle meat costs $2/pound. how many pounds of each should go into each batch of lion food in order to minimize costs? hint [see example 2.]

Acompany's sales in year 1 were $300,000, year 2 were $351,000, and year 3 were $400,000. using year 2 as a base year, the sales percent for year 3 is