Scenario $9\mathrm{.}3$

The Talbot Company uses electrical assemblies to produce an array of small appliances. One of its high cost $/$ high XO$-01,$ has an estimated annual demand of $8,000$ units. Talbot estimates the cost to place an order is $$50,$ and th assembly is $$20$ per year. The company operates $250$ days per year.

Use the information in Scenario $9\mathrm{.}3.$ What is the annual ordering cost if Talbot orders using the EOQ quantity?

greater than $$1,000$ but less than or equal to $$2,500$

Breater than $$4,000$

less than or equal to $$1,000$

greater than $$2,500$ but less than or equal to $$4,000$