A specific item from either of two suppliers

Reference no: EM131094857

A retailer is considering the purchase of 250 units of a specific item from either of two suppliers. Their offers are as follows:

Supplier One: $400 a unit, total of $100,000, 1/10, n/30, no charge for freight. Supplier Two: $399 a unit, total of $99,750, 2/10, n/30, plus freight of $975.

Which of the two offers, Supplier One or Supplier Two, yields the lower price?

Reference no: EM131094857

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