Question: Please show all steps and fully explain. If excel spreadsheet is used show cell code. If done well I will give thumbs up! A vendor

Please show all steps and fully explain. If excel spreadsheet is used show cell code. If done well I will give thumbs up!

A vendor is offering discount pricing based on order quantity for a product. The need is 1900 annually.

Quantity 1-299 300-799 800-1599 1600 and up
Price per Item 66.90 64.50 61.00 60.60

The purchaser requires 4300 annually and has ordering cost of 400 holding cost of 26.0%.

a. For lowest total cost, what is the best economic purchase quantity for lowest total cost? The amount ordered must be stated for credit.

b. What is the total annual cost for this best purchase amount? Include stocking and purchase cost in total.

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