Multiple Choice
Dusty is evaluating three bids to supply fence hardware for the 5 acres of pasture that need to be fenced.Breezy submits a bid of $40 per unit,Lady's bid is $50 per unit,and Spike's bid is $30 per unit.If a section of fence fails,it costs an average of $500 in losses and herding costs to round up all of the capybaras.Dusty believes it will take 500 units to fence in this pasture configuration.What defect rates for the three suppliers would make Dusty indifferent among them from a total cost standpoint?
A) Breezy 5%, Spike 6%, Lady 2%
B) Breezy 3%, Spike 5%, Lady 1%
C) Breezy 1%, Spike 3%, Lady 2%
D) Breezy 2%, Spike 3%, Lady 4%
Correct Answer:

Verified
Correct Answer:
Verified
Q13: Flingers Inc.reveals the following information in their
Q14: A company using portfolio analysis correctly decides
Q16: Single sourcing is a better choice than
Q17: Briefly discuss the three trends that make
Q20: Dusty is evaluating three bids to supply
Q39: Company A spends $250 million purchasing materials
Q43: For the average manufacturer, over 50 percent
Q53: A description method used when a product
Q59: The purchasing team occasionally examined its spending
Q77: Terms and conditions for a purchased service