What is the minimum annual total cost

Assignment Help Business Management
Reference no: EM132693556

A hospital needs 3,000 units of a medicine throughout the year. The purchasing cost varies with the size of the order. If the number of units of the medicine that the hospital orders is below 100, the supplier charges $30 per unit; if it is between 100 and 499, the price is $27 each; and if they order 500 units and above, it is $26 per unit. The holding cost per unit per year is $30, as the medicine must be kept in a special device to prevent spoilage. The ordering cost is $10.

a. How many units of the medicine can hospital order each time to minimize their total cost? (Round your answer to a whole number.)

b. What is the minimum annual total cost? (Round your answer to a whole number.)

Reference no: EM132693556

Questions Cloud

Compare the privacy rights of online users : Compare the privacy rights of online users in the United States to those of online users in the European Union.
Role of time and space in organisational behaviour : What is the role of time and space in organisational behaviour through considering the impact of globalisation upon the management of the organisation?
Webstore implementation and maintenance plan : Pine Valley Furniture's board of directors is ready to review how to implement and maintain the new WebStore system.
How does Jeff report this transaction on his tax return : He earns $2,000 in rental income and his only expense is $80 for cleaning at the end of the 10 days. How does Jeff report this transaction on his tax return
What is the minimum annual total cost : How many units of the medicine can hospital order each time to minimize their total cost? (Round your answer to a whole number.)
How is the implementation of network security : How is the implementation of network security similar and different between on-perm and cloud environments?
Incident response team policies : Describe the different ISS policies associated with incident response teams (IRTs).
Describe a boss with emotional intelligence : How did he or she balance or fail to balance the analytical needs of the agency with emotional connection. How did that impact the agency
What is Penelope Qualified Business Income : Penelope is a single taxpayer and operates a small business as a sole proprietor. What is Penelope's Qualified Business Income (QBI)

Reviews

Write a Review

Business Management Questions & Answers

  Caselet on michael porter’s value chain management

The assignment in management is a two part assignment dealing 1.Theory of function of management. 2. Operations and Controlling.

  Mountain man brewing company

Mountain Man Brewing, a family owned business where Chris Prangel, the son of the president joins. Due to increase in the preference for light beer drinkers, Chris Prangel wants to introduce light beer version in Mountain Man. An analysis into the la..

  Mountain man brewing company

Mountain Man Brewing, a family owned business where Chris Prangel, the son of the president joins. An analysis into the launch of Mountain Man Light over the present Mountain Man Lager.

  Analysis of the case using the doing ethics technique

Analysis of the case using the Doing Ethics Technique (DET). Analysis of the ethical issue(s) from the perspective of an ICT professional, using the ACS Code of  Conduct and properly relating clauses from the ACS Code of Conduct to the ethical issue.

  Affiliations and partnerships

Affiliations and partnerships are frequently used to reach a larger local audience? Which options stand to avail for the Hotel manager and what problems do these pose.

  Innovation-friendly regulations

What influence (if any) can organizations exercise to encourage ‘innovation-friendly' regulations?

  Effect of regional and corporate cultural issues

Present your findings as a group powerpoint with an audio file. In addition individually write up your own conclusions as to the effects of regional cultural issues on the corporate organisational culture of this multinational company as it conducts ..

  Structure of business plan

This assignment shows a structure of business plan. The task is to write a business plane about a Diet Shop.

  Identify the purposes of different types of organisations

Identify the purposes of different types of organisations.

  Entrepreneur case study for analysis

Entrepreneur Case Study for Analysis. Analyze Robin Wolaner's suitability to be an entrepreneur

  Forecasting and business analysis

This problem requires you to apply your cross-sectional analysis skills to a real cross-sectional data set with the goal of answering a specific research question.

  Educational instructional leadership

Prepare a major handout on the key principles of instructional leadership

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd