Use This Information to Answer the Following Questions

Multiple Choice

Use this information to answer the following questions.
A cake factory can produce cakes at the rate of 500 per day.The factory supplies its cakes to local grocery stores at a rate of 250 per day.The cost to prepare the equipment for producing the cakes is $20.Annual holding costs are $2 per cake.Assume that the factory operates 250 days a year.
-Refer to the information above.What is the maximum inventory held in a given cycle?

A) 825.56
B) 790.57
C) 800
D) 900.39
E) 750.44