16. If annual demand = 2500, order cost = $50, annual holding cost rate = 15%,...

 

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16. If annual demand = 2500, order cost = $50, annual holding cost rate = 15%, and the purchase price = $120 for orders of less than 10,000 units, or $105 for orders of 10,000 units or more, should you take the discount? Also, what is the minimum total cost? a. No-$341,263 b. Yes-$208,477 c. No-$116,280 d. Yes-$302,120 16. If annual demand = 2500, order cost = $50, annual holding cost rate = 15%, and the purchase price = $120 for orders of less than 10,000 units, or $105 for orders of 10,000 units or more, should you take the discount? Also, what is the minimum total cost? a. No-$341,263 b. Yes-$208,477 c. No-$116,280 d. Yes-$302,120