Assignment Content Question 1 2 OF 2 QUESTIONS REMAINING 20 Points The Burdell Wheel and Tire Company assembles tires to wheel rims for use on cars during manufacture of vehicles by the automotive industry Burdell wants to locate a low-cost supplier for the tires he uses in his assembly operations The supplier will be selected based on total annual cost to supply Burdell's needs. Burdell's annual requirements are for 25,000 tires, and the company operates 250 days a year. The following data are available for two suppliers being considered. SHIPPING Annual QUANTITY PER SHIPPING SUPPLIER SHIPMENT COSTS LEXINGTON 2,000 $18,000 TIRE IRMO AUTO 1,000 $25,000 PRICE/TIRE (p) $30 $29 INVENTORY LEAD TIME HOLD cosrs (DAYS) (H) $600 6 $5.80 4 Annual ADMIN. COSTS $15,000 $18,000 Using the Total Cost Analysis for Supplier Selection, which supplier should Burdell choose? Provide details to justify your answer. Use the editor toformatyour answer Question 2 Alison's Accessories is a high volume worldwide fashion house with outlets in 65 countries. Sadly, space does not permit an exhaustive list but once the test is over, check out their website. Kalil, the supply chain manager is conducting her usual thorough analysis of her final four candidates for supplier and has developed the following tables of pertinent costs and other shipping metrics. Regardless of supplier, Alison's Accessories will operate 220 days per year and has forecast annual demand of 250,000 units. Kalil has obtained quotes for three different shipment sizes (Freight Costs table). All costs are in US Dollars. Table 1 Unit costs Supplier Price/Unit Carrying Cost A 123 22 B 125 19 C 126 18 D 100 40 Annual Freight Costs Supplier 15,000 units 25,000 units 50,000 units A 380,000 260,000 237,000 B 615,000 547,000 470,000 C 285,000 240,000 200,000 D 380,000 260,000 237,000 Annual Freight Costs Supplier A Other Costs Supplier A 15,000 units 380,000 615,000 285,000 380,000 Lead Time 30 15 7' 90 25,000 units 260,000 547,000 240,000 260,000 50,000 units 237,000 470,000 200,000 237,000 Annual Admin Costs 250,000 275,000 225,000 2,500,000 Use the date in Table 1. Analyze costs and make recommendations regarding the shipping options and suppliers. Which combination of shipping amount and supplier yields the lowest total cost? Use the editor to formatyour