Question: A manager has just received a revised price schedule from a vendor. What order quantity should the manager use in order to minimize total costs?

A manager has just received a revised price schedule from a vendor. What order quantity should the manager use in order to minimize total costs? Annual demand is 120 units, ordering cost is $10 per order, and annual carrying cost per unit is 10% of the unit price/cost. (20 points)

Quantity	Unit Price
1 - 40	$16
41 - 69	$13
70 or more	$10

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