Piecewise Continuous Model (with discount) 

The supplier offers us a 2% discount if we order at least 2500 cases per shipment.
Is it worth raising our order level? 

Define a discount function so that we can insert it into our EOQ function directly. 

The discount function for our situation is Discount(2500, 0.02, x). 

Define a new EOQ function that incorporates our discount. 

Plot and check to see if the discount is worth having. 

Yes! The new curve dips below the old mincost. What is the new cost? 

We save by ordering 2500 cases each time.