city deliveries 1
Achieved:
1) Write equations
2) Draw a graph
3) State the cheapest option from the graph
1) Write equations
2) Draw a graph
3) State the cheapest option from the graph
The companies:
Car crushers: 55km round trip
Road Runners: 14.4km round trip
Couriers and charges:
A: from the graph
B: $20 flag fall/booking fee and $1 per km
C: Across the galaxy for $70
D:$30 flag fall/booking fee and 50 cents per km ($0.5)
A. Represent the couriers charges as mathematical equations using equations and graphs.
B. Recommend the cheapest courier to use for getting Car Crushers and Road Runners, their goods to their depot and back.
Car crushers: 55km round trip
Road Runners: 14.4km round trip
Couriers and charges:
A: from the graph
B: $20 flag fall/booking fee and $1 per km
C: Across the galaxy for $70
D:$30 flag fall/booking fee and 50 cents per km ($0.5)
A. Represent the couriers charges as mathematical equations using equations and graphs.
B. Recommend the cheapest courier to use for getting Car Crushers and Road Runners, their goods to their depot and back.
Looking at my graph, the cheapest courier for Car Crushers with a 55km round trip is to use Courier D. This will cost them $57.50. Courier C would be the next option at $70 ($13.50 more) followed by Courier B at $75 ($17.50 more) and the most expensive option, Courier A at $175 ($117.50 more than Courier D)
At 14.4 km for their round trip, the cheapest option for Road Runners is to use Courier B ($34.40) followed by courier D ($37.20 an extra $2.80). If they chose Courier A it will cost them $53.20 which is an extra $18.80. Finally the most expensive option for them is to use Courier C with their flat rate of $70. This is $35.60 more than the cheapest option.
At 14.4 km for their round trip, the cheapest option for Road Runners is to use Courier B ($34.40) followed by courier D ($37.20 an extra $2.80). If they chose Courier A it will cost them $53.20 which is an extra $18.80. Finally the most expensive option for them is to use Courier C with their flat rate of $70. This is $35.60 more than the cheapest option.
Table of Cost ($) and Distance (km)
Recommended Options Available
Achieved and Merit
Courier A is the cheapest for a round trip of 5km for companies within 2.5km of their depots.
Courier B is the cheapest for a round trip between 5km and 20km for companies within 2.5km to 10km of their depots.
Courier D is the cheapest for a round trip between 20km and 80km for companies within 10km and 40km of their depots.
After 80km, courier C is the cheapest to use.
For companies located exactly on the intervals of 5km, 20km and 80km, they have more options since they can go with two companies. For example, companies located at 2.5km exactly they could use courier A or courier B since they both offer the same charge of $25 for the same distance round trip of 5km.
For companies located exactly on the interval of 20km they have a choice of Courier D or Courier B. They both charge $40 for the 20 km round trip. Finally, for companies at exactly 40km from their depots, they could choose either Couriers' C or D for a round trip of 80km. The charge is $70.
Courier B is the cheapest for a round trip between 5km and 20km for companies within 2.5km to 10km of their depots.
Courier D is the cheapest for a round trip between 20km and 80km for companies within 10km and 40km of their depots.
After 80km, courier C is the cheapest to use.
For companies located exactly on the intervals of 5km, 20km and 80km, they have more options since they can go with two companies. For example, companies located at 2.5km exactly they could use courier A or courier B since they both offer the same charge of $25 for the same distance round trip of 5km.
For companies located exactly on the interval of 20km they have a choice of Courier D or Courier B. They both charge $40 for the 20 km round trip. Finally, for companies at exactly 40km from their depots, they could choose either Couriers' C or D for a round trip of 80km. The charge is $70.
excellence grade
My Strategy For a Competitive Pricing Structure
Design and recommend a pricing structure that
will allow you to be the cheapest service and still be profitable.
will allow you to be the cheapest service and still be profitable.
Equations:
Cost = md+c
I decided to divide the charge table into four stages, competing with each courier separately. This system charges the same rates but uses a lower flag fall/booking fee of $2.
C= 3d+8, for distances between 0 and 5km
C = d +18, for distances between 5km and 20km
C = 0.5d + 30 for distances between 20km and 80km
C = 68 for distances beyond 80km
For the first 5km - the price for a round trip to the depot and back is $3 per km and a booking fee/fixed charge of $8.
The next stage is $1 per km up to a maximum cost of $38 between 5km and 20km.
The following stage is 50 cents per km up to a maximum of $68. Beyond 80km the cost does not change.
See graph below for pricing structure. (The black line).
Cost = md+c
I decided to divide the charge table into four stages, competing with each courier separately. This system charges the same rates but uses a lower flag fall/booking fee of $2.
C= 3d+8, for distances between 0 and 5km
C = d +18, for distances between 5km and 20km
C = 0.5d + 30 for distances between 20km and 80km
C = 68 for distances beyond 80km
For the first 5km - the price for a round trip to the depot and back is $3 per km and a booking fee/fixed charge of $8.
The next stage is $1 per km up to a maximum cost of $38 between 5km and 20km.
The following stage is 50 cents per km up to a maximum of $68. Beyond 80km the cost does not change.
See graph below for pricing structure. (The black line).
Another Approach
Another method uses less stages, a lower price per km and a similar flag fall or fixed charge. This may not be as profitable as the previous scheme but it is still an option.
Another method uses less stages, a lower price per km and a similar flag fall or fixed charge. This may not be as profitable as the previous scheme but it is still an option.
Here, I have combined two stages into one. This simplifies the process a little. The charge starts at $10 like in courier A, but then has a lower rate per km charge of $1.40 per km. The rest of the charging system is as before.