A supplier of hard drives for a local computer supply store establishes the following price schedule. Annual

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A supplier of hard drives for a local computer supply store establishes the following price schedule.

Annual expected demand is 476 units. Given that ordering cost is $20 per order and carrying cost is $36 per unit per year, what should the low-cost order quantity be? Quantity Price

1 - 20 $229

21 - 60 210

61 - 120 199

121-above 175

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Cost Accounting A Managerial Emphasis

ISBN: 978-0133428704

15th edition

Authors: Charles T. Horngren, Srikant M. Datar, Madhav V. Rajan

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