Need help with this question

FratBro23
Category:
Management
Price: $5 USD

Question description

Bell Computers purchase integrated chips at $350 per chip. The holding cost is $36 per unit per year the ordering cost is $123 per order, and sales are steady at 405 per month. The company’s supplier Rich Blue Chip Manufacturing, Inc., decides to offer price concessions in order to attract larger orders. Quantity Purchased Price/Unit 1-99 units $350,100-199 units $325, 200 or more units $300. A. What is the optimal order quantity and the minimum cost for Bell Computers to order purchase and hold these integrated chips? The optimal order quantity after the change in pricing structure is.The total annual cost for Bell computers to order purchase and hold the integrated chips is?


Tutor Answer

(Top Tutor) Daniel C.
(997)
School: UIUC
PREMIUM TUTOR
Studypool has helped 1,244,100 students
Ask your homework questions. Receive quality answers!

Type your question here (or upload an image)

1823 tutors are online

Brown University





1271 Tutors

California Institute of Technology




2131 Tutors

Carnegie Mellon University




982 Tutors

Columbia University





1256 Tutors

Dartmouth University





2113 Tutors

Emory University





2279 Tutors

Harvard University





599 Tutors

Massachusetts Institute of Technology



2319 Tutors

New York University





1645 Tutors

Notre Dam University





1911 Tutors

Oklahoma University





2122 Tutors

Pennsylvania State University





932 Tutors

Princeton University





1211 Tutors

Stanford University





983 Tutors

University of California





1282 Tutors

Oxford University





123 Tutors

Yale University





2325 Tutors