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A hospital orders its thermometers from a hospital supply firm. The cost per thermometer depends on the order quantity Q, as shown in the file P12_58.xlsx. The annual holding cost is 25% of the purchasing cost. Let Q80 be the optimal EOQ order quantity if the cost per thermometer is $0.80, and let Q79 be defined similarly if the cost per thermometer is $0.79
a. Explain why Q79 will be larger than Q80
b. Explain why the optimal order quantity must be Q79, Q80, or 100.
c. If Q80 > 100, explain why the optimal order quantity must be Q79.
d. If Q80 79 80 or 100.
e. If Q80 79 > 100, explain why the optimal order quantity must be Q79.
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