Mathematics, 02.05.2021 20:40 hausofharris
An electronics company has two contract manufacturers in Asia. Foxconn assembles its tablets and smart phones while Flextronics assembles its laptops. Monthly demand for tablets and smartphones is 10,000 units while that for laptops is 4,000. Tablets cost the company $100 while laptops cost $400 and the company has a holding cost of 25 percent. Currently the company has to place separate orders with Foxconn and Flextronics and receives separate shipments. The fixed cost of each shipment is $10,000.
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