Mac-in-the-Box sells computer equipment by mail and telephone order. Mac sells 2,400 flat-bed scanners per year. Ordering cost is $300 and the annual...

500 or more

$512.00

• Given the above information and basing your decision on the economics, what order quantity do you recommend that Mac order from the scanner manufacturer? Why?
• What is the low cost for each of the three Price per Unit options?
• For the optimal order quantity, what is the inventory position immediately after an order is placed?