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An electronics company has two contract manufacturers in Asia. Foxconn assembles its tablets and smartphones while Flextronics assembles its laptops. Monthly demand for tablets and
An electronics company has two contract manufacturers in Asia. Foxconn assembles its tablets and smartphones while Flextronics assembles its laptops. Monthly demand for tablets and smartphones is units while that for laptops is Tablets cost the company $ while laptops cost $ and the company has a holding cost of percent. Currently, the company has to place separate orders with Foxconn and Flextronics and receives separate shipments. The common fixed cost of each shipment is $ Additional fixed cost for ordering tablets is $ and additional fixes cost for ordering laptops is $ what is the total annual holding and ordering cost for the two products if they are shipped separately from the two manufacturers?
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