What is optimal order quantity and the minimum annual cost

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Bell Computers purchases integrated chips at ?$350350 per chip. The holding cost is ?$3737 per unit per? year, the ordering cost is ?$122122 per? order, and sales are steady at 395395 per month. The? company's supplier, Rich Blue Chip? Manufacturing, Inc., decides to offer price concessions in order to attract larger orders. The price structure is shown below.

Rich Blue? Chip's Price Structure Quantity Purchased ? Price/Unit ? 1-99 units ?$350350 ? 100-199 units ?$325325 200 or more units ?$300300 ?a) What is the optimal order quantity and the minimum annual cost for Bell Computers to? order, purchase, and hold these integrated? chips? The optimal order quantity after the change in pricing structure is nothing units ?(enter your response as a whole ?number). The total annual cost for Bell computers to? order, purchase, and hold the integrated chips is ?$nothing ?(round your response to the nearest whole? number).

Reference no: EM131781012

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