1. Atestinglab is trying to determine how many test kits it should order from its supplier. They use 780 kits per year. The annual holding cost is $3 per kit per year. The ordering cost is $15 per order. The supplier offers a quantity discount a) Draw the Order quantity (C) verses Total Annual Cost graph with 3 item prices (as shown in Figure 12.7 of the textbook). b) What is the optimum buying condition (Price and Quantity)? c) What is the total cost (holding cost, ordering cost, material cost) at optimum condition? Quantity $Price DI 1.72 73-144 145 and more 60 56 53 1. Atestinglab is trying to determine how many test kits it should order from its supplier. They use 780 kits per year. The annual holding cost is $3 per kit per year. The ordering cost is $15 per order. The supplier offers a quantity discount a) Draw the Order quantity (C) verses Total Annual Cost graph with 3 item prices (as shown in Figure 12.7 of the textbook). b) What is the optimum buying condition (Price and Quantity)? c) What is the total cost (holding cost, ordering cost, material cost) at optimum condition? Quantity $Price DI 1.72 73-144 145 and more 60 56 53