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Annual Demand = 2 0 0 , 0 0 0 The order cost = $ 1 0 0 Annual holding rate = 2 5 %

Annual Demand =200,000
The order cost = $100
Annual holding rate =25%
Price varies depending on the order quantity per the following schedule:
Orders between 1 to 50,000 units cost $11.
Orders of 50,001 to 150,000 cost $10.75
Orders greater than 150,000 cost $10.5
Determine the order quantitys using the price discount model. Calculate TAIC

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