Problem # $9$ Inventory Analysis

You are the proud owner of a warehouse store that sells life$-$sized statues of Elvis. You have an annual demand of $2000$ statues per year. It costs $$50$ to order them, and your holding cost is $15\%$ of the purchasing cost. However, since you have been a loyal longtime customer of the statue manufacturing company, they are willing to give you a discount based on the amount of statues you order at once. If you order up to $100$ statues at a time, the cost of the statues is $$80$ each. If you order between $100-200$ statues at a time, the total comes out to $$60$ each. If you order more than $200$ at a time, the price drops to $$40$ each. Assuming you have the space to store at least $200$ statues, which price package should you choose?