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Horizon Cellular manufactures cell phones for exclusive use in its communication network. Management must select a circuit board supplier for a new phone soon to
Horizon Cellular manufactures cell phones for exclusive use in its communication network. Management must select a circuit board supplier for a new phone soon to be introduced to the market. The annual requirements D ?are ?units and Horizon's plant operates ?days per year. The data for three suppliers are in the following table.
Annual Freight Costs
Shipping Quantity Q ?
?
Supplier ? Price Unit p ?Annual Holding Cost Unit H ? Lead Time L days ?Annual Administrative Cost
Abbott $ ? $ ? $ ? $ ? $ ?
Baker $ ? $ ? $ ? $ ? $ ?
Carpenter $ ? $ ? $ ? $ ? $ ?
Which supplier and shipping quantity will provide the lowest total cost for Horizon Cellular?
Using: Baker ?Abbott, or Carpenter ?and a shipping quantity of ?or ?units is the lowest cost alternative, with annual total costs to Horizon Cellular of $ ?
Enter your response as an integer.
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