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Suppose You Are Shipping 1,000 Pounds of Product to a Customer

Question 42

Multiple Choice

Suppose you are shipping 1,000 pounds of product to a customer location that is 500 miles away from you.The customer calls you and increases the order size to 10,000 pounds.In this case:


A) The cost per pound of transportation for the order will decrease.
B) The total cost of transportation for the order will decrease.
C) The cost per distance traveled will decrease.
D) The fixed cost will be spread over more miles.

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