As an Inventory Manager,you Must Decide on the Order Quantity

Multiple Choice

As an inventory manager,you must decide on the order quantity for an item.Its annual demand is 350 units.Ordering cost is $20 each time an order is placed,and the holding cost is 30 percent of the per-unit price.Your supplier provided the following price schedule. What is the annual cost discrepancy between the optimal order policy and the second best order policy?

A) Less than $5
B) Between $5 and $10
C) Between $10 and $20
D) More than $20