You Sell 28,000 Units of an Item Each Year

Multiple Choice

You sell 28,000 units of an item each year. The carrying cost per unit is $.42 and the fixed costs per order are $52. What is the economic order quantity?

A) 1,862 units
B) 1,907 units
C) 2,414 units
D) 2,507 units
E) 2,633 units