[kushkumar]

Demand is 150 units per month
The purchase cost per unit is $25
Fixed order cost $32
The holding cost per unit per year is $4.5.

Required :
Calculate the minimum total cost assuming the following discount applies:
A discount of 1% is given on orders of 150 and over
A discount of 2% is given on orders of 300 and over
A discount of 4% is given on orders of 800 and over.

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