. Eton Andrew Electronics has an annual demand for its Smart Watches of 1,400. The cost of a typical Smart Watch is $400. Carrying cost is estimated to be 20% of the unit cost, and the ordering cost is $25 per order. If Eton Andrew Electronics orders in quantities of 300 or more, it can get a 10% discount on the cost of the Smart Watches. Should Eton Andrew Electronics take the quantity discount? Assume the demand is constant.
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- Dec 02, 2018 at 10:12pm