Question: order quantity 0-9.909 tons price per ton =$4500 10-17-99 = $3,000 18 tons or more = $1250 a pharmacy needs 15 tons a month. regardless
order quantity 0-9.909 tons price per ton =$4500 10-17-99 = $3,000 18 tons or more = $1250 a pharmacy needs 15 tons a month. regardless of amount ordered each time fixed cost is $300. Holding cost is 25% Calculate lot size (q) given C= $500 a ton c = $3,000 a ton qiven $1250 a ton what is the optimal lot size given this pricing strategy.
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To determine the optimal lot size given this pricing strategy we need to use the Economic Order Quantity EOQ model adapting it for multiple price leve... View full answer
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