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Greely Food in Boston, Massachusetts, manufactures and markets snack foods. Mila Patel manages the company's fleet of 210 delivery trucks Patel has been charged with "reengineering the fleet-management function. She has an important decision to make, (Click the icon to view the decision Patel has to make.) Assume that Patel's records show the following data concerning Greely Food's fleet: (Click the icon to view the data.) Suppose that Fleet Management Services offers to manage Greely Food's fleet for an annual fee of $278,000. Which alternative will maximize Greely Food's short-term operating income? Complete the following analysis. (Enter a "0" for any zero amounts. Use a minus sign or parentheses for subtracting numbers that are typically shown enclosed in parentheses in an outsourcing decision.) Greely Food Outsourcing Decision Analysis Retain Outsource In-House to FMS Difference Annual maintenance of trucks Annual salaries of five fleet management employees Annual leasing fee for software Fleet Management Services' annual foc Total cost of feet Operating income for Greely Food will by if it outsources the fleet management function in Boston, Massachusetts, manufactures and markets snack foods. Mila Patel manages the company's fleet of 210 delivery en charged with "reengineering" the fleet-management function. She has an important decision to make. icon to view the decision Patel has to make Pat e icd More Info + Fle maxin 's SH Should she continue to manage the fleet in-house with the five employees reporting to e foll her? To do so, she will have to acquire new fleet-management software to streamline e typic sed Greely Food's fleet-management process. Should she outsource the fleet-management function to Fleet Management Services, a company that specializes in managing fleets of trucks for other companies? Fleet Management Services would take over the maintenance, repair and scheduling of Greely Food's fleet (but Greely Food would retain ownership). This alternative would require Patel to lay off her five employees. However, her own job would be secure, as she would be Greely Food's liaison with Fleet Management Services. inten laries asing magem Print Done of fleel income for Greely Food will by if it outsources the fleet-management function, -.An.ee Alaw eely Food in Boston, Massachusetts, manufactures and markets snack foods. Mila Patel manages the company's fleet of 210 delivery trucks. tel has been charged with reengineering" the fleet-management function. She has an important decision to make. (Click the icon to view the decision Patel has to make.) sum Data Table ppos eely ci ample own Book value of Grealy Food's.trucks, with an estimated seven-year.life... Annual leasing fee for new fleet-management software.. Annual maintenance of trucks Fleet Supervisor Patel's annual salary Total annual salaries of Greely Food's five other fleet-management employees...... $ 3,500,000 9,000 160,000 61,000 150,000 Annua Annual Annual Print Done Fleet N Total cost of fleet Operating income for Greely Food will by if it outsources the fleet-management function Time Remaining: 00:55:17 Next

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