PR 2 - (15 pts) Maximum, a clothing manufacturer, is deciding whether to...
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PR 2 - (15 pts) Maximum, a clothing manufacturer, is deciding whether to continue outsourcing distribution of its products to retailers. Their clothing is shipped in standard size boxes containing varied number of items. Maximum is considering two alternatives: - Alternative X - Continue outsourcing at a rate of $.25 per box. - Alternative Y - Distribute the clothing themselves. Administrative costs are estimated to be $35,000 per year, a distribution center will need to be built at a cost of $500,000 and the per carton cost for loading/handling will be $.05 per box. Assume a study period of 10 years \& MARR of 8%. Find the minimum number of boxes shipped per year to justify Alternative Y
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