Question: please answer question 7 8 Question 4 For Questions 4, 5, 6 and 7. use the following information: Prefab, a furniture manufacturer, uses 20,000 square
please answer question 7
8 Question 4 For Questions 4, 5, 6 and 7. use the following information: Prefab, a furniture manufacturer, uses 20,000 square feet of plywood per year, 12 months per year. Its trucking company charges Prefab $400 per shipment, independent of the quantity purchased. The manufacturer offers an all unit quantity discount with a price of $1 per square foot for orders 5,000 or under $0.96 per square foot for orders larger than 5,000 square feet but not larger than 10,000 square feet, and $0.94 per square foot for orders larger than 10,000 square feet. Prefab incurs a holding cost of 20 percent. D Question 7 8 pts How does it compare with the cycle inventory if the manufacturer does not offer a quantity discount but sells all plywood at $0.96 per square foot? Between 10,000 and 10,500 Less than 9.500 More than 11,000 Between 9,500 and 10,000 Between 10,500 and 11,000

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