Business, 10.02.2020 22:49 sissygirl0807
What, according to economist donald boudreaux, best explains why the decentralized market system is not a random, chaotic mess? there is active cooperation among private property owners and government officials to correct the excesses of a market economy. the roundabout methods of production allocate resources from consumers to producers and then producers to consumers. government planning limits the chaos and government controls direct economic activity to create stability in the market system. people seek to make the best use of resources and in doing so create arrangements that produce the products people want?
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Emery pharmaceutical uses an unstable chemical compound that must be kept in an environment where both temperature and humidity can be controlled. emery uses 825 pounds per month of the chemical, estimates the holding cost to be 50% of the purchase price (because of spoilage), and estimates order costs to be $48 per order. the cost schedules of two suppliers are as follows: vendor 1 vendor 2 quantity price/lb quantity price/lb 1-499 $17 1-399 $17.10 500-999 $16.75 400-799 $16.85 1000+ $16.50 800-1199 $16.60 1200+ $16.25 (a) what is the economic order quantity for each supplier? (b) what quantity should be ordered and which supplier should be used? (c) the total cost for the most economic order sire is $
Answers: 2
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