[Solved] X has a demand for 1,000 units a year. The cost of a unit is $50. It costs X $40 to place an order and the carrying cost is 25% of the unit cost.
Question: X has a demand for 1,000 units a year. The cost of a unit is $50. It costs X $40 to place an order and the carrying cost is 25% of the unit cost. If units are ordered in quantities of 200, X can get a 3% discount per unit. Should X order 200 units at a time and take the 3% discount?
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![[See Steps] X sells with an average](/images/solutions/MC-solution-library-43901.jpg "[See Steps] X sells with an average annual demand of 2,000. His")
[See Steps] X sells with an average annual demand of 2,000. His
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