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168 
TENDERING FOR 400 TONS A MONTH.'
Page 96
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"I have been asked to tender for the haulage of 300-400 tons per month of materials to seven depots, all on a main road. I propose to use a 5-ton lorry, I pay is. 3d. per gallon for petrol, 2s. 5d. for oil, wages are 30s. per week, and garage 2s. 6d. The respective distances to the depots from headquarters are as follow:-34 miles, 28, 23, 19, 18, 10 and 8. Please give me figures for cost. I will add my own profit."
We calculate that your vehicle will be fully employed on this contract and, with your own figures for cost as a basis, and a small provision for establishment charges, we estimate that your total expenditure will be at the rate of 7d. per mile. Your actual cost per return journey to each of the places you name will be as follows-40s., 33s., 27s., 22s., 21s., 12s. and 10s. respectively. A flat rate, assuming that the loads are evenly divided among all the seven places, would be 6s. per ton. That is cost only. Incidentally, we think that the wages you are paying are insufficient and you will probably be expected to increase them when your licence is renewed.