Table 14.1 Alison's Accessories Is a High Volume Worldwide Fashion House with House

Multiple Choice

Table 14.1
Alison's Accessories is a high volume worldwide fashion house with outlets in 65 countries. Kalil, the supply chain manager is conducting her usual thorough analysis of her final four candidates for supplier and has developed the following tables of pertinent costs and other shipping metrics. Regardless of supplier, Alison's Accessories will operate 220 days per year and has forecast annual demand of 250,000 units. Kalil has obtained quotes for three different shipment sizes (Freight Costs table) . All costs are in US Dollars.
Unit costs

Freight Costs

Other Costs

-Use Table 14.1 to answer the question. Kalil has a brother-in-law that works for Supplier B and as she will soon be an aunt for the first time, she'd like to choose a shipping volume that awards Supplier B with the contract with Alison Accessories. What shipping volume should she choose?

A) 15,000 units
B) 25,000 units
C) 50,000 units
D) Supplier B is never the best alternative.