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M . P . VanOyen Manufacturing has gone out on bid for a regulator component. Expected demand is 7 2 5 units per month. The
M P VanOyen Manufacturing has gone out on bid for a regulator component. Expected demand is units per month. The item can be purchased from either Allen Manufacturing or Baker Manufacturing. Their price lists are shown in the table. Ordering cost is $ and annual holding cost per unit is $
Baker Mfg
Price Range Lower Quantity Upper Quantity Unit Price
$
a What is the economic order quantity if price is not a consideration?
enter your response here units round your response to the nearest whole number
Part
b Which supplier, based on all options with regard to discounts, should be used?
Allen Mfg
Baker Mfg
Part
c What is the optimal order quantity and total annual cost of ordering, purchasing, and holding the component?
The optimal order quantity is
enter your response here with a total cost of $
enter your response here round your responses to the nearest whole number
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