Should milestone take the quantity discount

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Reference no: EM1335668

Milestone has an annual demand for 1400 doll stands. The cost of a typical doll stand is $400. Carrying cost is estimated to be 20% of the doll stand cost, and the ordering cost is $25 per order. If Milestone, orders in quantities of 300 or more, they can get a 5% discount on the cost of the doll stands. Should Milestone take the quantity discount?

Reference no: EM1335668

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