Larger quantity purchases, Operation Management

A vendor's gives discounts to entice larger quantity purchases.  The price breaks are as follows:

Order Size    Discount    Unit Price    
0 - 40              0%           $30
50 - 99            5%           $28.50
100 or more    10%          $27

If your store's yearly demand is 150 units, ordering cost is $20, and yearly inventory carrying cost is 25 percent of the unit prices, what order quantity policy should you follow?

Posted Date: 3/25/2013 4:03:14 AM | Location : United States







Related Discussions:- Larger quantity purchases, Assignment Help, Ask Question on Larger quantity purchases, Get Answer, Expert's Help, Larger quantity purchases Discussions

Write discussion on Larger quantity purchases
Your posts are moderated
Related Questions
1) Discuss why businesses set plans, how they set plans, and how short and long-term objectives work together. 2) Define and discuss the role of a company's vision and mission in

Hatten (2009) stated, because inventory is such a significant expense, most businesses look carefully for ways to determine the appropriate levels of control for their inventory. H

Q. Explain the strategic supply wheel according to Cousins? The 'strategic supply wheel' suggests that this is imperative to keep an alignment of corporate goals along with the

Performance and Productivity Measurement The Performance and Productivity Measurement is divided into two parts: ? Performance measurement and ? Productivity measu

As a library or Internet assignment, find the US productivity rate (increase) last year for the (a) national economy, (b) manufacturing sector, and (c) service sector. Where can yo

The marketing team presents a children's cereal brand manager with "Less Sugar" ad campaign for three of her brands. Large print and dynamic type on the package exclaiming "75% LES

What are the three trends that require managers to adopt a global perspective to exploit the potential of a new technology?

The project scope planning processes include all of the following EXCEPT: A. How the project scope will be defined B. How the requirements will be collected C. How the work brea

I am listing three different category's I need cited and referenced: 1). Alternative Medicine,2). Human Service Models. 3). Comparing the Various Models and Treatment of Mental Ill

Q1: Explain how you might take production line approach (transferring the concepts and methodologies of operations management) to a service organization such as a branch bank. Q