Question: Suppose now that the supplier in the previous problem offers a 1% discount on orders of 1,800 units or more. Should MEC accept the supplier's
Suppose now that the supplier in the previous problem offers a 1% discount on orders of 1,800 units or more. Should MEC accept the supplier's offer?
Previous problem data
Micro-Encapsulator Corp. (MEC) expects to sell 7,200 miniature home encapsulators this year. The cost of placing an order from its supplier is $250. Each unit costs $50 and carrying costs are 20% of the purchase price.
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