Q1. The following Chris Sandvig Irrigation, Inc. has summarized the price list from two potential suppliers of an underg
Posted: Fri May 20, 2022 7:35 am
Q1. The following Chris Sandvig Irrigation, Inc. has summarized the price list from two potential suppliers of an underground control valve. Annual usage is 2400 valves; order cost is $10 per order; and annual inventory holding costs are $3.33 per unit. Which vendor should be selected and what order quantity is best if Sandvig Irrigation wants to minimize total cost? Vendor A Price Quantity 1-49 50-74 75-149 150-299 Price $35.00 $34.75 Vendor B Quantity 1-99 100-199 200-399 $34.50 $33 $33.55 $32.35 $32.50 $31.10 400+ 300+ $31.15