A Shipment of Parts Valued at $75,000 Needs to Be

question 15

Essay

A shipment of parts valued at $75,000 needs to be shipped from Thunder Bay, ON to Edmonton, AB. They could be shipped by rail, taking 15 days at a cost of $1,575, or by truck, taking 4 days at a cost of $2,640. The annual holding cost rate for this type of item has been estimated at 22%. What option is more economical?

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Definitions:

PET Scan

A type of imaging test that helps reveal how your tissues and organs are functioning, using a radioactive drug to show activity.

MRI

Magnetic Resonance Imaging, a technique used in radiology to form pictures of the anatomy and physiological processes of the body.

Movements

Actions or activities involving change in position or posture of the body.

Brainstem

A part of the brain that controls basic life functions such as heart rate, breathing, and sleeping.