Question: (please show all work) QUESTION 1 Sony Electronics hires Mr. Mark Gunther of Brockhart & Kaitlin in order to manage inventory operations. Sony has a

(please show all work) QUESTION 1 Sony

(please show all work) QUESTION 1 Sony Electronics hires Mr. Mark Gunther of Brockhart & Kaitlin in order to manage inventory operations. Sony has a supplier that produces electronic circuit boards for its TV sets. Sony currently pays $300 for each circuit boards, and consumes an estimated 30,000 boards in a year. It costs Sony $700 to place an order to its supplier. The unit inventory holding cost is estimated to be equal to 50% of the purchasing price. A) The supplier Sony Electronics uses produces a new and updated price list based on increased order quantities. The following list shows the new prices: Order Quantity 1 - 499 500 - 999 1000 - 1499 1500 - 1999 2000+ Unit Price per Circuit Card $300.00 $297.00 $294.00 $291.00 $290.00 Using the same ordering cost information available in Problem 1, what is the optimal order quantity for Sony? (Please show all work) B) Using the same ordering cost information available in Problem 1, and the optimal order quantity for Sony in Problem 6, calculate the associated annual total cost for the outsourcing alternative with price discounts. (Please show all work)

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