2. A company has 6 per year carrying cost on each unit of inventory, an annual usage...

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2. A company has 6 per year carrying cost on each unit of inventory, an annual usage of 120,000 units and an ordering cost of $200 per order. Calculate the economic order quantity. If a quantity discount of *0.25 per unit is offered to the company when it purchases in lots of 1,000 units, should the discount be accepted?

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