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

Multiple Choice

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 lowest total cost?

A) $47,500
B) $50,000
C) $52,500
D) $55,000