Sarah's Computer City Sells 5,000 Boxes of CD -RW Compact

question 73

Multiple Choice

Sarah's Computer City sells 5,000 boxes of CD -RW compact discs per year. She determined that she pays $50 to process an order for discs. Her purchase price is $6 for each box of discs and she has determined that storage costs for one year are 25 percent of the purchase price. Sarah's vendor said that if she purchased 1,000 boxes at a time, she would receive a 10 percent discount. The total cost formula is TC = DP +QIP/2 +DS/Q What is Sarah's annual carrying cost if she does NOT take advantage of the discount?

• A) $250
• B) $578
• C) $433
• D) $675

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Definitions:

Gasoline Tax

A specific tax levied on the sale of gasoline, often implemented to fund transportation-related projects and to encourage fuel efficiency considerations among consumers.

RSV

Respiratory Syncytial Virus, a common and highly contagious virus that causes respiratory infections, particularly in children.

Bronchiolitis

An inflammatory respiratory condition often caused by a viral infection, primarily affecting the small airways (bronchioles) in the lungs, commonly seen in young children.