Question: A) What is the optimum ordering quantity? B) What is the annual holding cost? C) What is the annual ordering cost? D) What are the

A) What is the optimum ordering quantity? B) What

A) What is the optimum ordering quantity?

B) What is the annual holding cost?

C) What is the annual ordering cost?

D) What are the annual cost of the silverware with an optimal order quantity?

E) What is the total annual cost, including ordering, holding, and purchasing the silverware?

she needs to order some more silverware, but wants to take advantage of any quantity discounts her vendor will offer. > For a small order (2,000 pieces or less ) her vendor quotes a price of $1.80/ piece. > If she orders 2,001 to 5,000 pieces, the price drops to $1.60 piece. >5,001 to 10,000 pieces brings the price to $1.40 piece, and 10,001 and above reduces the price to $1.25 /piece

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