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Demand for phones at an on-line retailer is 5,000 per month. The annual inventory carrying rate for the retailer is 25 percent, and the retailer incurs a fixed order cost of $15,000 for each order placed with the supplier in Taiwan. The supplier offers a price of $100 per phone for any order that is strictly less than 5,000 phones in the order, a price of $95 if the order size is greater than or equal to 5,000 but strictly less than 10,000 phones in the order and a price of $90 if the order size is greater than or equal to 10,000.
1) How many phones should the retailer order per replenishment if an incremental units discount policy is in effect?
2) What is the associated average total annual cost?
In your calculations report four digits after the decimal. Do not round until you get to the final answer.
Assume that you are the manager of a firm. You are concerned about a potential increase in interest rates because it would reduce the demand for your products. Currently, economic growth is high, but annual inflation has increased from 3 percent to 5..
ead the information in your notes and at WorldWideWebTax to decide. Make sure that you show your work on each circumstance and the overall benefit of standard versus itemizing.
You have been asked to lecture healthcare management students on the role and value of government regulations in healthcare. You have been asked to focus on the objectives of regulation by discussing the adverse impact monopolies have in healthcare. ..
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Based on the best available econometric estimates, the market elasticity of demand for your firm’s product is -3. The marginal cost of producing the product is constant at $225, while average total cost at current production levels is $315.
BUECO5903 BUSINESS ECONOMICS Explain why some people 'lose' from inflation and why do some people 'win' from inflation and how did the classical economists interpret long-run unemployment?
US national health expenditure was $7,026 per person in 2006 and $4,790 in 2000. The Consumer Price Index had a value of 201.6 in 2006 and a value of 172.2 in 2000. Adjusted for inflation, how much was spending in 2000? Why has the share of healthcar..
A bidders' value for a good may be low ($2), medium ($5), or high ($7). There are an equal number of potential bidders having each value. Suppose two bidders show up for an auction at which the good is offered. The possible outcomes of the auction ar..
Webster is a talented baker and has a degree in business management. He wants to own his own chain of incorporated bakeries one day. What obstacle does he face to starting a corporation right away?
You will need to determine how you will measure strict gun control laws for the states and to define what types of crimes will make up the crime rate.
Which of the following is true about a content chunk on a web page?
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