A product with independent demand has a unit cost of $50. The order cost is $41 per
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A product with independent demand has a unit cost of $50. The order cost is $41 per order. The annual inventory holding cost is 15% of the item cost per year. The average annual demand is 75,000 units. The supplier has offered to charge only
$49 per item if they order at least 2,000 units at a time. Should they take the price discount or not? Show.
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Related Book For
The Fundamentals Of Production Planning And Control
ISBN: 978-0130176158
1st Edition
Authors: Stephen Chapman
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