Quantity Discount Analysis

Quantity Discount Analysis - manual The supplier has quoted...

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QUANTITY DISCOUNT ANALYSIS Minnie Wong has received the following quote from a supplier of replacement ink cartridges used in laser jet printers: Quantity Unit Price 1 $23 2 19 5 17 10 13 13 12 Assignment Questions 1. Using the format illustrated in the textbook, calculate a quantity discount analysis for a quote using specific quantities. 2. What quantity should Minnie order if she wants to receive the lowest incremental costs between quantities? 3. Is there anything unusual about this quote? 4. What must a buyer consider when determining what quantity to purchase?
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That same day Minnie received a quote for printing services for a purchasing procedures
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Unformatted text preview: manual. The supplier has quoted a discount schedule using ranges instead of specific quantities. Quantity Unit Range Price 1–5 $9.00 6–10 8.85 11–20 8.75 21–30 8.00 31–40 7.60 41–50 7.30 51–99 7.00 Assignment Questions 1. Using the format illustrated in the textbook, calculate a quantity discount analysis for a quote specifying quantity ranges. 2. What do you conclude about this quotation? Does it appear reasonable based on your analysis? Why or why not? 3. What should Minnie do with regards to this quote and supplier?...
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This note was uploaded on 04/21/2011 for the course MGT 01 taught by Professor Gad during the Spring '11 term at Tanta University.

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Quantity Discount Analysis - manual The supplier has quoted...

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