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Wanda Lux must select a supplier for a plastic bottle and proprietary dispenser for its new hair shampoo. Three suppliers have placed bids; at Wanda's

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Wanda Lux must select a supplier for a plastic bottle and proprietary dispenser for its new hair shampoo. Three suppliers have placed bids; at Wanda's request, all bids are for a shipping quantity (Q) of 20,000 bottles with annual requirements (D) of 40,000 units. Wanda's factory operates 250 days a year. The following table shows each supplier's price, estimated annual freight costs, and current lead times; management has added estimates for holding costs and administrative oversight costs for each supplier. 51 Supplier Dover Plastics Evan & Sons Farley, Inc. Freight Costs $4,500 $3,000 $4,000 Price/Unit (p) $5.10 $5.00 $5.15 Annual Holding Cost/Unit (H) $1.02 $1.00 $1.03 Lead Time Annual Administrative (L) (days) Costs 18 $6,000 16 $5,000 13 $4,000 a. Which of the three suppliers will provide the lowest annual cost to Wanda Lux? Using is the lowest cost alternative, with annual total costs to Wanda Lux of $ (Enter your response rounded to the nearest whole number.)

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