Am I better off buying from here or there?
You could buy asphalt from this guy for X and from that guy for Y, but the guy with a better price is ten minutes farther down the road. What should you do?
As long as you know the hourly rate of the truck and the truck’s capacity, we’ll tell you exactly how much lower that price difference needs to be to make that extra driving time worth it.
For example, if a supplier is 10 minutes farther down the road, the truck can hold 25 tons, and that truck is costing you $110/hour, that supplier needs to be at least $1.47 cheaper per ton to make it worth it.