he annual ordering cost is $$$

$$

$481\mathrm{.}39.($Enter your response rounded to two decimal$$ places.$)$

Part $8$

Without calculating the$$ EOQ, how can you conclude from these two calculations that the current lot size is too$$ large?

A$.$

There is not enough information to determine this.

B$.$

When Q$=505,$ the annual holding cost is less then the ordering$$ cost$,$ therefore Q is too small.

C$.$

Both quantities are appropriate.

D$.$

When Q$=505,$ the annual holding cost is larger than the ordering$$ cost$,$ therefore Q is too large.

Your answer is correct.

Part $9$

e$.$ What would be the annual cost saved by shifting from the $505-$bag lot size to the$$ EOQ?

The annual holding cost with the EOQ is $$$

$$

enter your response here. $($Enter your response rounded to two decimal$$ p