What is the optimal order quantity

Assignment Help Operation Management

Reference no: EM131713525

Demand for C&A's product is 15,000 units per year. Holding costs per year are 4% of item cost which is $100. Ordering costs are $5 per order. The supplier offers C&A a discount of 5% if the order quantity is 200 or higher. What is the optimal order quantity?

Reference no: EM131713525

Questions Cloud

Advertisement that has exceptionally high stopping power : From current magazines, identify one advertisement that has exceptionally high stopping power (attention), one that has exceptionally high pulling power.

What fraction of people would be expected : Body temperatures. Most people think that the normal adult body temperature is That figure, based on a 19th-century study, has recently been challenged.

Key elements of these organizational life cycles : What are the key elements of these "organizational life cycles" and how might they affect structure?

Why is diversity and inclusion important to campus culture : Why is a diverse campus important to you? Why is diversity and inclusion important to the campus culture at the University of Toledo?

What is the optimal order quantity : The supplier offers C&A a discount of 5% if the order quantity is 200 or higher. What is the optimal order quantity?

Summarize the lengths of the pencils produced by machines : Assessment: Collaborative Project, Use a frequency table to summarize the lengths of the pencils produced by both machines

Using the new costing system for gaap new income : Is the controller acting ethically by using the new costing system for GAAP new income? Why?

Discuss the implications of human intelligence : Write a one page movie review discussing the implications of human intelligence becoming integrated with software systems, and thus subject to viral attack.

What should be the optimal decision strategy : Draw a decision Tree for Canuck Union Bank. What should be the optimal decision strategy and what is the expected value of this strategy?

User Account

All Pages