QUESTION $29$

Estimated demand for gold$-$filled lockets at Sam's Bargain Jewelry and Housewares is $2,420$ lockets a year. Manager Veronica Winters has indicated that ordering cost is $$45,$ and that the following price schedule applies: $1$ to $599$ lockets, $$,90$ each; $600$ to $1,199$ lockets, $$\mathrm{.}80$ each; and $1,200$ or more, $$\mathrm{.}75$ each. What order size will minimize total cost if carrying cost is $$\mathrm{.}18$ per locket on an annual basis?

$D=2,420$ lockets per year

$S=$$$45$

$H=$$$\mathrm{.}18$ per locket