Question: I need a clear step by step answer please :) ACME Company is a big supplier that wants to make it difficult for new suppliers
I need a clear step by step answer please :)
ACME Company is a big supplier that wants to make it difficult for new suppliers to take sales away from its important customer BAKER. Currently ACME sells BAKER 10,000 units yearly at a cost of $75.75 per unit. And BAKER is placing orders of EOQ. ACME wants BAKER to increase the size of its next order to 3500 units by offering a price discount. Ordering costs are $320 per order and holding cost is 20% of item value. What is the smallest discount (new discount price), that ACME needs to offer BAKER to make it economical to purchase 3500 units next time? 68.13 66.65 O 70.35 O 74.05 O71.83
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