Requirements (annual forecast) Weight per engine Order processing cost Inventory carry cost 13,800 units 30 pounds $ 170 per order 20 percent of the average value of inventory per year ORDER QUANTITY 1 to 1,499 units/order 1,500 to 2,999 units/order 3,000 units/order Tooling costs Distance SUPPLIER 1 SUPPLIER 2 UNIT PRICE UNIT PRICE $ 697 $ 696 695 696 694 693 $26,080 $22,600 125 miles 100 miles Truckload (50,000 lbs. each load): Less-than-truckload: $0.80 per ton-mile $1.20 per ton-mile a-1. Calculate the total cost for each supplier. (Round your answers to the nearest whole number.) Supplier 1 Supplier 2 Total cost a-2. Which supplier would you select? Supplier 2 Supplier 1 b-1. If you could move the lot size up to ship in truckload quantities, calculate the total cost for each supplier. (Do not round intermediate calculations. Round "Required lot size for truckload" and final answers to the nearest whole number.) HINT: Use (full) truckload cost rates and the lowest (feasible) unit cost for all calculations. For example, if there are 8.3 orders per year, don't split the 8.3 orders into 8 full truckloads and 0.3 less-than-truckloads - use the full truckload rate for all 8.3 orders. For annual purchase cost, don't use two different unit costs for the 8 complete orders and the 0.3 partial orders - use the lowest (feasible) unit cost for all 8.3 purchase orders based on the lot size needed for a full truckload. Supplier 1 Supplier 2 Total cost b-2. Would your supplier selection change? Yes No