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Bell Computers purchases integrated chips at $350 per chip. The holding cost is $34 per unit per year, the ordering cost is $122 per order,
Bell Computers purchases integrated chips at $350 per chip. The holding cost is $34 per unit per year, the ordering cost is $122 per order, and sales are steady at 400 per month. The company's supplier, Rich Blue Chip Manufacturing, Inc., decides to offer price concessions in order to attract larger orders. The price structure is shown below. Rich Blue Chip's Price Structure Quantity Purchased 1-99 units Price/Unit $350 $325 100-199 units 200 or more units $300 a) What is the optimal order quantity and the minimum annual cost for Bell Computers to order, purchase, and hold these integrated chips? The optimal order quantity after the change in pricing structure is number). units (enter your response as a whole The total annual cost for Bell computers to order, purchase, and hold the integrated chips is $ response to the nearest whole number). (round your
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