Answer the Following Questions Using the Information Below:
the Following

Multiple Choice

Answer the following questions using the information below:
The following information applies to Dental Labs Plus,which supplies dental burs (used in dental drills) to dentists throughout Victoria.Dental Labs Plus purchases the dental burs from a manufacturer which has a reputation for very high quality in its manufacturing operation.
$$\begin{array} { l l } \text { Antual demand (weekly demand = 1/52 of annual demand) } & 31200 \text { units } \\\text { Orders per year } & 25 \\\text { Lead time in days } & 20 \text { days } \\\text { Cost of placing an order } & \$ 100\end{array}$$
-What are the annual relevant carrying costs,assuming each order was made at the economic-order-quantity (EOQ) amount?

A) $1000
B) $6000
C) $2500
D) $200