Mathematics, 20.11.2020 14:00, glowbaby123
The office manager for the Metro Life Insurance Company orders letterhead stationery from an office products firm in boxes of 500 sheets. The company uses 6500 boxes per year. Annual carrying costs are $3 per box, and ordering costs are $28. The following discount price schedule is provided by the office supply company: ORDER QUANTITY (BOXES) PRICE PER BOX ā200ā999ā $16 1000ā2999 ā 14 3000ā5999 ā 13 6000+āāāā ā 12 Determine the optimal order quantity and the total annual inventory cost.
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