Quantity Discount Problem:

Given:

Annual demand $=5,000$ units

Ordering cost $($setup$)=$$$49$

Holding cost $=20\%$ of cost $=0\mathrm{.}2C$

Find the lowest cost feasible order quantity for each price break and select the

one with the lowest cost. Finally, what is the least costly Q$($optimum$)?$

$(20$ points$)3.$ Quantity Discount Problem:

Given:

Annual demand $=5,000$ units

Ordering cost $($setup$)=$ $$49$

Holding cost $=20\%$ of cost $=0\mathrm{.}2$C

Find the lowest cost feasible order quantity for each price break and select the one with the lowest cost. Finally, what is the least costly Q$($optimum$)?$

$(20$ points$)$