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Aero Parts National (APN) is s considering going to a different supplier for a landing gear part. The present supplier charges $1000/unit and requires minimum
Aero Parts National (APN) is s considering going to a different supplier for a landing gear part. The present supplier charges $1000/unit and requires minimum quantities of 490 units. The annual demand is 48,000 units, the ordering cost is $2000, and the inventory carrying cost is 20% of the unit cost, a new supplier is offering parts at $900 in lots of 4000. Who should APN buy from?
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