Ola Industries has gone out on a bid for a regular component. Expected demand is 700 units per month. The item can be purchased from either Sam Manufacturing or Akim Manufacturing. Their price lists are shown in the table. Ordering costs are R50, and annual holding cost per unit is 10%. Assume a 12 month work year.

Sam Manufacturing		Akim Manufacturing
Quantity	Unit Price	Quantity	Unit Price
1 499	R16,00	1 399	R16,10
500 999	R15,50	400 799	R15,60
1 000+	R15,00	800+	R15,10

5. Calculate:

5.1. The EOQ 1 for Sam Manufacturing is .. units.

5.2. The EOQ 2 for Sam Manufacturing is .. units.

5.3. The EOQ 3 for Sam Manufacturing is .. units.

5.4. The value for Q1 for Sam Manufacturing is .units.

5.5. The value for Q2 for Sam Manufacturing is . units.

5.6. The value for Q3 for Sam Manufacturing is .units.

5.7. The Total Cost value Discount Quantity 1 for Sam Manufacturing is

5.8. The Total Cost value Discount Quantity 2 for Sam Manufacturing is

5.9. The Total Cost value Discount Quantity 3 for Sam Manufacturing is

5.10. The EOQ 1 for Akim Manufacturing is .. units.

5.11. The EOQ 2 for Akim Manufacturing is ..units.

5.12. The EOQ 3 for Akim Manufacturing is .. units.

5.13. The value for Q1 for Akim Manufacturing is . units.

5.14. The value for Q2 for Akim Manufacturing is .units.

5.15. The value for Q3 for Akim Manufacturing is .units.

5.16. The Total Cost value Discount Quantity 1 for Akim Manufacturing is

5.17. The Total Cost value Discount Quantity 2 for Akim Manufacturing is

5.18. The Total Cost value Discount Quantity 3 for Akim Manufacturing is

5.19. The supplier which should be used is

5.20. Compare Sam and Akim Manufacturing