Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The demand for disposable teaspoons in a cafeteria is 1 0 0 0 per week. Holding them in inventory costs 1 0 % per year

The demand for disposable teaspoons in a cafeteria is 1000 per week. Holding them in inventory costs 10% per year (52 weeks per year) over the unit value which is $5. Currently the purchasing manager orders 4000 units every 4 weeks. If the supplier offers a discount of $0.20 per teaspoon.
How many teaspoons would he advance an order to take advantage of the discount?

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

The Pain Management Workbook

Authors: Rachel Zoffness, Mark A. Schumacher

1st Edition

1684036445, 978-1684036448

More Books

Students also viewed these General Management questions

Question

9. Understand the phenomenon of code switching and interlanguage.

Answered: 1 week ago