A mail-order house uses 15,950 boxes a year. Carrying costs are69 cents per box a year, and ordering costs are $100. The followingprice schedule applies.
| Number of Boxes | Price per Box |
| 1,000 to 1,999 | | $1.40 | |
| 2,000 to4,999 | | 1.30 | |
| 5,000 to9,999 | | 1.20 | |
| 10,000 ormore | | 1.15 | |
|
a. Determine the optimal order quantity. (Roundyour answer to the nearest whole number.)
b. Determine the number of orders per year.(Round your answer to 2 decimal places.)
