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Management Studies

A manufacturer produces milling machines. The milling bed screws necessary for each machine are produced by an outside supplier at a cost of $25 each. Five are needed each production day. The storage cost is 15%, while the cost to order is $25. Assume work occurs 240 days per year. If a 1 ½% discount is given on ordrs of 500 or more, should the discount be taken? What will the POQ be?

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Operation Management, Management Studies

Category:- Operation Management
Reference No.:- M92575261

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