Another of Rondell Painting, LLC., paints is even more specialized and calls for just 100 gallons per year. The cost is
Posted: Wed Mar 30, 2022 3:47 pm
Another of Rondell Painting, LLC., paints is even more
specialized and calls for just 100 gallons per year. The cost
is $80 per gallon with ordering costs of $22 and carrying cost at
20% of the item. The vendor has offered a single discount at
$70 per gallon if it orders 25 or more gallons at a time.
What is the EOQ at $80?
What is the EOQ at $70 (don’t forget to consider the vendor’s
requirement)?
What is TC at $80?
What is TC at $70?
Based on your information, how much of this super specialty
paint should Rondell order at a time?
specialized and calls for just 100 gallons per year. The cost
is $80 per gallon with ordering costs of $22 and carrying cost at
20% of the item. The vendor has offered a single discount at
$70 per gallon if it orders 25 or more gallons at a time.
What is the EOQ at $80?
What is the EOQ at $70 (don’t forget to consider the vendor’s
requirement)?
What is TC at $80?
What is TC at $70?
Based on your information, how much of this super specialty
paint should Rondell order at a time?