In: Economics
(13)Acme Logistics provides “less than truck load” (LTL) services throughout the U.S. They have several hubs where they use cross-docking to move goods from one trailer to another. Acme built its last hub 10 years ago, and it had 36 dock doors. The cost index at that time was 140, and the total cost was $6 million. Acme plans a new hub that will have 48 dock doors. The cost index now is 195, and Acme will use a capacity factor of 0.82. What is the estimated cost of the new hub?
(a) 8580534 (b) 9580534 (c) 10580534 (d) 11580534
The estimated cost of thenew hub =8580534
Acme was founded in 1964 by a retired U.S. Postal Service employee and has been operating under its current ownership since 1987. Our upper management team has a combined 65 years experience in the courier industry. Acme is headquartered in Greenville, South Carolina, with branches in Lexington and Charleston, South Carolina. We currently service all South Carolina points, Western North Carolina and Northern Georgia and we are South Carolina’s largest state based courier company.
For 50 years Acme Logistics has provided courier and small package delivery. Now, we have grown our fleet to include straight trucks and 53’ dry van truckload service. We provide local area service as well as long haul. In 2013, we added truck load freight and a full-service freight brokerage to our service offering. ACME now has a large, growing fleet of tractors and trailers providing service to 48 states.
Acme is fully licensed, bonded and insured. We contract professional drivers who undergo a complete background check, including drug testing. Extensive training is provided to all Acme associates, on a continued basis, throughout their time with the company. Acme now has over 60 professional drivers on the road daily to service your freight needs.
Acme Logistics serves over 250 active customers. We are confident that by choosing Acme Logistics for your critical delivery needs, you will receive the best service in today’s market.