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Show all work, please!!! 1. Price Discount Model A moving company uses 20,000 boxes annually. The ordering cost is $75/ order. The vendor offers the
Show all work, please!!!
1. Price Discount Model A moving company uses 20,000 boxes annually. The ordering cost is $75/ order. The vendor offers the following price discount schedule. (a) Assume the carrying cost is 50 cents / box / year. What is (i) the optimal order quantity and (ii) the total cost corresponding to this order quantity? (b) For this part, assume that the carrying cost is 90% of the unit price. What is (i) the optimal order quantity and (ii) the total cost corresponding to this order quantity
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