Company Is Planning for Its Financing Needs and Uses the Basic

question 4

Multiple Choice

company is planning for its financing needs and uses the basic fixed-order quantity inventory model.Which of the following is the total cost (TC) of the inventory given an annual demand of 10,000,setup cost of $32,a holding cost per unit per year of $4,an EOQ of 400 units,and a cost per unit of inventory of $150?

• A)$1,501,600
• B)$1,498,200
• C)$500,687
• D)$499,313
• E)None of these