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Dusty Is Evaluating Three Bids to Supply Fence Hardware for the 5

Question 36

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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 with a defect rate of 2%; Lady's bid is $50 per unit with a defect rate of 0.5%; and Spike's bid is $30 per unit with a defect rate of 5%.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 1000 units to fence in this pasture configuration; what is the BEST choice for supplier?

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