Question: Apply the EOQ model to the following quantity discount situation in which D = 500 units per year, Co = $40, and the annual holding

Apply the EOQ model to the following quantity discount situation in which D = 500 units per year, Co = $40, and the annual holding cost rate is 20%. What order quantity do yourecommend?

Discount Category Discount Order Size 0 to 99 100 or more 0 3 Unit Cost $10.00 $9.70

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