Questions $1$:

a$)(5$ points$)$ Amazon sells $10,000$ Lenovo PCs every month. Each PC costs $$500$

and Amazon has a holding cost of $20$ percent. For what fixed cost per order

would an order size of $10,000$ units be optimal?

b$)(5$ points$)$ For what fixed cost per order would an order size of $2,500$ units be

optimal?