The TOPSHOP company has a monthly demand for an item of 1,000 units/month. This companyoperates only ten month per year. The cost to process an order is $ 75 and the annual inventoryholding cost is 20% of the item's unit price. The unit price per item is S 10. The following is thediscount schedule for the TOPSHOP company.Discount NumberQuantity1-49995000 or moreDiscountDiscount = X%Discount = 12%2Q.3.A. What is the unit price your supplier would charge you if you purchase 15,332 units?Show in detail ALL your steps and calculations to reach your answer.Q.3.B. If the annual product cost for Discount number 1 is $ 97,400, what is X? Show in detailALL your steps and calculations to reach your answer.

Answer 3A For the given quantity discount =12% is applies Actual unit price =$10Discount…

The TOPSHOP company has a monthly demand for an item of 1,000 units/month. This company operates only ten month per year. The cost to process an order is $ 75 and the annual inventory holding cost is 20% of the item's unit price. The unit price per item is S 10. The following is the discount schedule for the TOPSHOP company. Discount Number Quantity Discount 1 1-4999 Discount - X% 5000 or more Discount= 12% Q.3.A. What is the unit price your supplier would charge you if you purchase 15,332 units? Show in detail ALL your steps and calculations to reach your answer. Q.3.B. If the annual product cost for Discount number 1 is $ 97,400, what is X? Show in detail ALL your steps and calculations to reach your answer.

The TOPSHOP company has a monthly demand for an item of 1,000 units/month. This company operates only ten month per year. The cost to process an order is $ 75 and the annual inventory holding cost is 20% of the item's unit price. The unit price per item is S 10. The following is the discount schedule for the TOPSHOP company. Discount Number Quantity Discount 1 1-4999 Discount - X% 5000 or more Discount= 12% Q.3.A. What is the unit price your supplier would charge you if you purchase 15,332 units? Show in detail ALL your steps and calculations to reach your answer. Q.3.B. If the annual product cost for Discount number 1 is $ 97,400, what is X? Show in detail ALL your steps and calculations to reach your answer.

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter20: Inventory Management: Economic Order Quantity, Jit, And The Theory Of Constraints

Section: Chapter Questions

Problem 6E: Ottis, Inc., uses 640,000 plastic housing units each year in its production of paper shredders. The...

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