Harley purchases components form three suppliers. Components purchased from Supplier A are priced at $50 each and used at a rate of 24,000 units per year. Components purchased from Supplier B are priced at $40 each and are used at the rate of 2,500 units per year. Components purchased from Supplier Care priced at $50 each and used at the rate of 1,000 units per year. Currently, Harley purchases a separate truckload from each supplier. Harley has decided to aggregate purchases from the three suppliers into a single truckload. The trucking company charges a fixed cost of $4000 for each order and an additional charge of $1000 for each stop at a supplier. Thus, currently Harley incurs a fixed order cost of $5000 (= 4000 + 1000) for ordering each component separately, but Harley wants to place joint orders for the three components (not necessarily with the same quantity) which would incur a fixed order cost of $7000 (= 4000 + 1000 + 1000+ 1000). Harley uses a holding cost of 20 percent. (20 points total) a. What is the total (holding + ordering) cost for Harley's current ordering policy? (10 points) b. How much could Harley save if it places joint orders (complete aggregation) for the three components? (10 points) Harley purchases components form three suppliers. Components purchased from Supplier A are priced at $50 each and used at a rate of 24,000 units per year. Components purchased from Supplier B are priced at $40 each and are used at the rate of 2,500 units per year. Components purchased from Supplier Care priced at $50 each and used at the rate of 1,000 units per year. Currently, Harley purchases a separate truckload from each supplier. Harley has decided to aggregate purchases from the three suppliers into a single truckload. The trucking company charges a fixed cost of $4000 for each order and an additional charge of $1000 for each stop at a supplier. Thus, currently Harley incurs a fixed order cost of $5000 (= 4000 + 1000) for ordering each component separately, but Harley wants to place joint orders for the three components (not necessarily with the same quantity) which would incur a fixed order cost of $7000 (= 4000 + 1000 + 1000+ 1000). Harley uses a holding cost of 20 percent. (20 points total) a. What is the total (holding + ordering) cost for Harley's current ordering policy? (10 points) b. How much could Harley save if it places joint orders (complete aggregation) for the three components? (10 points)