Discount pricing schedule provided by the supplier

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A manufacturing firm has been offered a particular component part according to the following discount pricing schedule provided by the supplier.

1-199               $65

200-599           59

600+                57

The manufacturing uses 800 of the components annually, the annual carrying cost is $13.5 per unit per year, and the ordering cost is $270 per order. Determine the amount the firm should order.

Reference no: EM132244584

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