Question

Problem 12.21 Question Help o Cesar Rego Computers, a Mississippi chain of computer hardware and software retail outlets, supplies both educational and commercial customers with memory and storage devices. It currently faces the following ordering decision relating to purchases of disks: D S H Purchase price Discount price 36,600 disks $26 $0.41 $0.82 $0.81 Quantity needed to qualify for the discount = 6,100 disks. What is the EOQ? EOQ = units (round your response to the nearest whole number).

a.) What is the EOQ?

EOQ = __ units (round to the nearest whole number).

b.) Should the discount be taken?

Since the total cost with discounted volume is __ the total cost at the EOQ volume, Cesar Rego should __ the discount, provided other factors such as storage space, etc. permits

Answer 1

toa RX XS Н (2x36600*26 00*26) 0.41 TEOQT 2154.5 TC EO 2154-5 x0.41 0.43 ? Holding cost 36600 x 26 2154.5 } stripping cast 36,600 80 82 } purduet price TCI २ 441-67+ 441-68+ 300012 = $30, 895.35 with dis cant = 36,600 80.81 + 36,600 x 26 +6100 -X0.41 6100 29,646 +156 + 1950.5 $31, S.25 TC;<TG descount shouldnet be taken Cast wilts des counted volume in $31,05 po25 TE