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A jewelry firm buys semiprecious stones to make bracelets and rings. The supplier quotes a price of $ 8 per stone for quantities of 6
A jewelry firm buys semiprecious stones to make bracelets and rings. The supplier quotes a price of $ per stone for quantities of stones or more, $ per stone for orders of to stones, and $ per stone for lesser quantities. The jewelry firm operates days per year. Usage rate is stones per day, and ordering costs are $
a If carrying costs are $ per year for each stone, find the order quantity that will minimize total annual cost. Round your intermediate calculations and final answer to the nearest whole number.
Order quantity
stones
b If annual carrying costs are percent of unit cost, what is the optimal order size? Round your intermediate calculations and final answer to the nearest whole number.
Optimal order size
stones
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