In the previous problem, suppose that vendor A provides a new price-discount schedule for component 3. This

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In the previous problem, suppose that vendor A provides a new price-discount schedule for component 3. This one is an "incremental" discount, as opposed to an "all-units" discount, as follows:
Unit price = $60 on all units up to 1;000
Unit price = $56 on the next 1;000 units
Unit price = $51 on the next 500 units
a. What is the minimum total cost for Universal's purchases?
b. In the optimal solution to part (a), which purchases are made at discounted prices?
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Management Science The Art Of Modeling With Spreadsheets

ISBN: 1301

4th Edition

Authors: Stephen G. Powell, Kenneth R. Baker

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