5.Demand for fasteners Aw.w. Grainger is 20,000 boxes per month. The holding cost at Grainger is 20% per year. Each order incurs a fixed cost of $400. The supplier offers an all unit discount pricing scheme with a price of $5per box for order under 30,000 and a price of $4.90for all orders of 30,000 or more. How many boxes should Grainger order per replenishment?"

5.Demand for fasteners Aw.w. Grainger is 20,000 boxes per month. The holding cost at Grainger is 20% per year. Each order incurs a fixed cost of $400. The supplier offers an all unit discount pricing scheme with a price of $5per box for order under 30,000 and a price of $4.90for all orders of 30,000 or more. How many boxes should Grainger order per replenishment?"

Purchasing and Supply Chain Management

6th Edition

ISBN:9781285869681

Author:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson

Publisher:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson

Chapter16: Lean Supply Chain Management

Section: Chapter Questions

Problem 10DQ: The chapter presented various approaches for the control of inventory investment. Discuss three...

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