Maurice Tutor

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    Argosy University/ Phoniex University/
    Nov-2005 - Oct-2011

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    Phoniex University
    Oct-2001 - Nov-2016

Category > Management Posted 06 Jan 2018 My Price 7.00

Company J

Company J is a transporter of fruit. They transport goods from A to B (a one way distance of 900 km). In most cases the trucks return empty from B to A. The cost on which the company quotes for business is broken down as follows: Fuel Cost: $1.56 per km Driver Salary: $900 per 1,800 km trip Variable overhead expenses (maintenance, tyres etc): $2.20 per km Allocation of fixed overhead expenses: $1,200 per 1,800 km trip Company J has a fixed term contract with Farm X to transport goods to the harbour every week. Recently a second company, the Fruit Y, asked for a quote from Company J to transport fruit pallets to A from B and packaging material back from A to B for one time only. 1.1 What would you suggest is the lowest price one way that Company J can charge Farm X? 1.2 What would you suggest is the lowest price one way that Company J can charge Fruit Y?

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Maurice Tutor
(5)
Status NEW Posted 06 Jan 2018 03:01 PM My Price 7.00

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