Large size cardboard boxes to package their products

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Reference no: EM131672287

You are the Purchasing Manager for The EWD Snack Mix Company that uses the Large size cardboard boxes to package their products. They see that there is an 18,000 annual demand for this size box. The sales representative has approached you with a new discount price list for these boxes. The new prices are: 1,000 - 1,999 = $1.25 each, 2,000 - 4,999 = $1.20 each, 5,000 - 9,999 = $1.15 each and 10,000 or more = $1.10 each. You look up your holding cost on this item and see that it is charged at $ .60 per box per year. Your ordering costs are set at $96 per order. Your answer will have two entries, one for the Quantity (round to the closest integer) and the second for the price per box (do not use $ only the decimal point).

A) What quantity should you buy

B) What price should you buy?

Reference no: EM131672287

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