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My Kitchen Delights (MKD) is considering two new suppliers for the jars used in the production process. The quality at both suppliers is equal. Assume
My Kitchen Delights (MKD) is considering two new suppliers for the jars used in the production process. The quality at both suppliers is equal. Assume that the annual holding cost is 30 percent of the unit price. Monthly demand averages 20,000 jars. Ordering cost with these two suppliers is $30 per order. The price lists for the suppliers are as follows:
(a) Determine the optimal EOQ MKD can use when accepting Supplier A offer _______ jars (b) Determine the optimal EOQ MKD can use when accepting Supplier B offer _______ jars
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