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Annual Freight Costs Shipping Quantity ( Q ) Supplier 1 0 , 0 0 0 2 5 , 0 0 0 5 0 , 0

Annual Freight Costs Shipping Quantity (Q) Supplier 10,00025,00050,000 Price/Unit (p) Annual Holding Cost/Unit (H) Lead Time (L)(wks) Annual Administrative Cost Bradley $40,000 $26,000 $17,000 $8.10 $1.627 $15,000 Alexander $35,000 $28,000 $17,000 $8.10 $1.626 $15,000

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