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K Happy Pet, Inc., is a large pet store located in Long Beach Mall. Although the store specializes in dogs, it also sells fish,
K Happy Pet, Inc., is a large pet store located in Long Beach Mall. Although the store specializes in dogs, it also sells fish, turtle, and bird supplies. The Everlast Leader, a leather lead for dogs, costs Happy Pet $12 each. There is an annual demand for 9,000 Everlast Leaders. The manager, Stephan Wagner, has determined that the ordering cost is $40 per order and the carrying cost, as a percentage of unit cost, is 15% Happy Pet is now considering a new supplier of Everlast Loaders. Each lead would cost only $11.40, but, in order to get this discount, Happy Pet would have to buy shipments of 5,000 at a time. Should Happy Pet use the new supplier and take this discount for quantity buying? The total cost without the discount is $(round your response to the nearest whole number).
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