ATMS 120 (ATMS 120)

Chapter 6 For practice on problems related to Chapter 6, you can work through the Problems 6.1 - 6.5 from the back of the chapter. (In doing so, interpret "annual costs" as total controllable costs.) Problem 6.1 Suppose you purchase from a supplier at $4 per unit a part with which you assemble rd widgets. On average, you use 50,000 units of this part each year. Every time you order this particular part, you incur a sizeable ordering cost of $800 regardless of the number of parts you order...