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Home Insert Draw Page Layout Formulas Data Review View Help Total Cost of Ownership Analysis Requirements (annual forecast units) Lot size (Q) Weight per engine
Home Insert Draw Page Layout Formulas Data Review View Help Total Cost of Ownership Analysis Requirements (annual forecast units) Lot size (Q) Weight per engine (lbs) D Items1to999unitsperunit1,000to2,999unitsperunit3,000+unitsperunitToolingcostTerms(net30)Distance(miles)SupplierQualityRating(defects)SupplierDeliveryRating(lateness)Supplier1$520.00$511.00$501.00$21,0004%1402%2%Supplier2$530.00$521.00$516.00$25,0002%1103%3% Total engine cost Cash discount (net 30) Cash discount (early payment) Tooling cost Transportation cost Ordering cost Carrying cost Quality cost Backorder cost Lost sales cost Total cost EFG Supplier 2 Supplier 1 Supplier 2 \#N/A #N/A \#N/A \#NIA \#N/A \#N/A \#N/A \#N /A \#NA #N/A \#N/A \#N/A Il its ATVs. The purchasing manager, Ms. Jane Kirn, needs to choose a supplier for engines for the coming year. Due to the size of the warehouse and other administrative restrictions, she must order the engines in lat sizes of 1,000 each. The unique characteristics of the standardized engine require special tooling to be used during the manufacturing process. Kuantan ATV agrees to reimburse the supplier for the tooling. This is a critical purchase since late delivery of engines would disrupt production and cause 50 percent lost sales and 50 percent back orders of the ATVs. Jane has obtained quotes from two reliable suppliers but needs to know which supplier is more cost-effective. The terms of sale are 4/10 net 30 for Supplier 1 and 2/10 net 30 for Supplier 2 . The data related to the costs of ownership associated with two reliable suppliers has been collected in the Microsoft Excel Online file below. Open the spreadsheet and perform the required analysis to answer the questions below. Open spreadsheet Questions nearest cent
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