Question: Demand for a book at Amazon.com is 4 0 0 units per week. The product is supplied to the retailer from a factory. The factory

Demand for a book at Amazon.com is 400 units per week. The product is supplied to the retailer from a factory. The factory pays $9 per unit. while the total cost of a shipment from the factory to the retailer when the shipment size is Q is given by
Shipment cost = $83+2Q
Assume the annual inventory carrying cost is 32 percent.
a-1. What is Amazon's total cost per shipment?

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