Introduction to Spreadsheet Modeling

$$ Q$5($Quantity Discounts, Sam$$s Bookstore$)(4$pt$)$ page $68($see your online textbook$)$

Download $$Quantity Discount Solution$$ Excel file from Moodle. Use and modify this template to answer Q$5$

In this problem, you should include an expediting cost when calculating the profit.

Use IF statement to calculate the expediting cost properly. The logic is that if demand is greater than order quantity, certain number of expedited orders incur.

We can multiply the unit of expediting $($$$25)$ and number of expedited order to calculate the total expediting cost

It will be similar to calculating left$-$over revenue in NCAA t$-$shirt

example. Please refer to the example.

You should also think how this expediting impact revenue. Any additional stream of revenue due to the possibility of expediting? For the expended order, you can still charge the regular price.

Update and modify your profit formula to reflect the possibility of expediting, capturing both additional cost and additional revenue.