1. M Cafe located in Adliya requires 3,000 pcs of pizza dough every quarter. They are spending BD 50 as order cost and BD 10 to maintain the quality of pizza. How much should they order so that they can maintain the lowest cost? a.346.41 pcs b.400 pcs c.420.5 pcs d.345 pcs e. 500 pcs

Principles Of Marketing
17th Edition
ISBN:9780134492513
Author:Kotler, Philip, Armstrong, Gary (gary M.)
Publisher:Kotler, Philip, Armstrong, Gary (gary M.)
Chapter1: Marketing: Creating Customer Value And Engagement
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1. M Cafe located in Adliya requires 3,000 pcs of pizza dough every quarter. They are spending BD 50 as order cost and BD 10 to maintain the quality of pizza. How much should they order so that they can maintain the lowest cost?

a.346.41 pcs

b.400 pcs

c.420.5 pcs

d.345 pcs

e. 500 pcs

2.Ms. Therese is a regular customer that represents AMD Inc. Her company wants wants 180,000 pcs of Item A in 2 weeks but your maximum capacity is only 65,000 pcs per week .This requirement will be there for at least a year. From what is given below, which recommendation is not acceptable?

a. All the answers given are not acceptable

b.Turn down the order as it exceeds your capacity

c.Get a subcontractor to help increase the capacity

d.Get additional machines

e.Hire more people and make 2 working shifts

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