Transportation Cost and Response Time#

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Exercise 6.

4 Transportation cost with changes in response time

1 - week response 2- Weeks response 3 - Weeks response


Quantity Quantity Quantity
Weeks Demand Shipped Cost Shipped Cost Shipped Cost
1 8000 8000 14000
2 7500 7500 13250 15500 25250
3 7800 7800 13700 23300 36950
4 7200 7200 12800 15000 24500
5 8200 8200 14300
6 6800 6800 12200 15000 24500 22200 35300
7 8000 8000 14000
8 7500 7500 13250 15500 25250
9 7200 7200 12800 22700 36050
10 6800 6800 12200 14000 23000
11 7800 7800 13700
12 8000 8000 14000 15800 25700 22600 35900
13 6000 6000 11000
14 6800 6800 12200 12800 21200 12800 21200

183400 169400 165400


Effect of change in response time 8% 2%
Transportation cost
Fixed cost Rs. 2000
Variable cost per unit / load Rs. as shown in the col K to m
VC cost of trans

12000 30
11250 23250 76.5 40000
11700 0 34950 24.5 37500
10800 22500 0 24.5 54 11800
12300 0 0 27 39 14500
10200 22500 33300 31.5 194 9200
12000 0 0 24 113000
11250 23250 0 36 36 92000
10800 0 34050 3
10200 21000 0
6
11700 0 0
12000 23700 33900
9000 0 0 182
10200 19200 19200

155400 155400 155400

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