What is the optimal order quantity and minimum annual cost

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Reference no: EM131174644

Bell Computers purchases integrated chips at ?$350 per chip. The holding cost is $36 per unit per? year, the ordering cost is $119 per? order, and sales are steady at 405 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.

Price Range Price/Unit

1 1-99 350

2 100-199 325

3 200-999999 300

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 _ units ?(enter your response as a whole number).

The total annual cost for Bell computers to? order, purchase, and hold the integrated chips is _ ?(round your response to the nearest whole? number).

Reference no: EM131174644

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