Question: Happiness Pie industries is evaluating the quantity discount schedule below the annual demand for an item is 9000 units the cost to process an order
Happiness Pie industries is evaluating the quantity discount schedule below the annual demand for an item is 9000 units the cost to process an order is $75 and the annual inventory holding cost is 20% of item cost the prices for the item is a function of order quantity as follows:
1-9: 2.95 per unit
10-999: 2.50 per unit
1000-4999: 2.30 per unit
5000 or more: 1.85 per unit
Determine the feasible order quantity for this item (you do not need to determine the total cost at this time)
Step by Step Solution
There are 3 Steps involved in it
1 Expert Approved Answer
Step: 1 Unlock
Question Has Been Solved by an Expert!
Get step-by-step solutions from verified subject matter experts
Step: 2 Unlock
Step: 3 Unlock
