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A TV producer locsted in Turkey parchases LED TV panels frou A supplier. For production of one TV, one TV panel is needed. The
A TV producer locsted in Turkey parchases LED TV panels frou A supplier. For production of one TV, one TV panel is needed. The yearly demand for 42-inch LED TVs follows a constant rate of 100,000 TVs per year. The cost of one LED TV panel is 8120 and the yenrly interest rate is estimated to be 25%. The cost of placing an order to the TV producer is $2000. a. 8 points] What is the economic order quantity of LED TV panela? What is the order eyele length in monthe? b. 7 points] The LED TV panel supplier fore the TV producer to sign an agreement which indiestes that the minimum shipment quantity ca not be les than 4000 units. How would this change the order- ing policy of the TV producer? By what pereentage wotuld the anmual cost change for the TV producer? c. [10 points] Suppose that the LED TV panel supplier offers a discount: If the TV producer orders S000 units or more, the unit cost of a panel will be $00. How would this discount offer change the rdering policy of the TV producer?
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