Question: Consider the quantity discount schedule below. The annual demand is 90,000 units, setup cost is $1000 per order, and annual holding cost is $10 per

Consider the quantity discount schedule below. The annual demand is 90,000 units, setup cost is $1000 per order, and annual holding cost is $10 per unit.

What order quantity per order minimizes the total cost of inventory?

Quantity Ordered

Price Per Unit

11999

$300

20003999

$280

40005999

$250

6000 and over

$210

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