Answer the following question(s) using the information below: Solid Wood Furniture Company produces a specialty wood furniture product and has the following information available concerning its inventory items:

Relevant ordering costs per purchase order$150Relevant carrying costs per year: Required annual return on investment10% Required other costs per year$1.40

Annual demand is 10,000 packages per year. The purchase price per package is $16. What are the Solid Wood Furniture Company's annual relevant total costs at the economic order quantity?

Question 13Select one:

a.

$1,000

b.

$2,050

c.

$3,000

d.

$1,500

e.

$3,500