A mail-order house uses 17,630 boxes a year. Carrying costs are 60 cents per box a year, and ordering costs are $96. The following price schedule applies.
|
1,000 to 1,999
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1.25
|
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2,000 to 4,999
|
1.20
|
|
5,000 to 9,999
|
1.15
|
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10,000 or more
|
1.10
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a. Determine the optimal order quantity. (Round your answer to the nearest whole number.) Optimal order quantity boxes.
b. Determine the number of orders per year. (Round your answer to 2 decimal places.) Number of order per year.