Flanger is an industrial distributor that source from, Econometrics

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Flanger is an industrial distributor that source from

Flanger is an industrial distributor that source from hundreds of supplier .The two modes of transportation available for inbound shipping are LTL (less-than-truckload) and TL (truck-load).LTL shipping cost $1 per unit, whereas TL shipping cost $400 per truck. Each truck can carry up to 1,000 units. Flanger wants a rules assigning products to shipping mode (TL or LTL) based on annual demand. Each unit costs $50 and Flanger uses holding cost 20%.Flanger incurs a fixed cost of $100 for each order placed with a supplier. Determine a threshold for annual demand above which TL is preferred and below which LTL is preferred?

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Econometrics: Flanger is an industrial distributor that source from

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Econometrics: Flanger is an industrial distributor that source from

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