Question: o B D E F G . K L M N P Q R S 3. Minions, a furniture manufacturer, uses 2,400 square feet of

o B D E F G . K L M N P Q R S 3. Minions, a

o B D E F G . K L M N P Q R S 3. Minions, a furniture manufacturer, uses 2,400 square feet of wood per month. Its trucking company charges Minions $625 per shipment, independent of the quantity purchased. Its supplier offers an all unit quantity discount with a price of $1.50 per square foot for orders under 10,000 square feet, $1.20 per square foot for orders between 10,000 square feet and 29,999 square feet, and $1.00 per square foot for orders of 30,000 or more square feet. Minions incurs a holding cost of 25 percent. a) What is the optimal order quantity for Minions? (10 points) b) What is the total annual cost of the optimal policy? (5 points)

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