Urgent: Inventory Model. Solve step by step. thanks Question: A supplier offer the following discount structure on
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Urgent: Inventory Model. Solve step by step. thanks
Question:
A supplier offer the following discount structure on purchases of any single item:
0 < Q < 1000 $5.00 per unit
1000 Q < 2000$4.90 per unit
2000 Q $4.75 per unit
The discount applies to all units. For each of the following items treated separately, what is the appropriate order quantity to use, assuming a common value ofi = 0.30 $/$/year and an ordering cost A = $25 per order
Item D (units/year)
1 10,000
2 1,000
3 4,000
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