Question: Additional Algo 1 2 - 6 Quantity Discounts A store estimates their holding costs at 2 5 % and incurs a fixed cost of $

Additional Algo 12-6 Quantity Discounts
A store estimates their holding costs at 25% and incurs a fixed cost of $71.00 for each order. Demand for an item is 1,975 units per year.
A supplier offers a price of $11.00 each for quantities of 400 or fewer and a price of $10.45 for quantities over 400 units.
Round your answer to the nearest integer value.
How many units should the retailer order at one time?
$ 401 units
What is the total annual cost at this order point?
Additional Algo 12-6 Quantity Discounts A store estimates their holding costs

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