This is an operation problem. DON'T USE EXCEL OR ANY OTHER TOOLS TO SOLVE, JUST USE FORMULA AND SOLVE IT!!!!

3. Jindal steel produces 20 tons of cast steel pipes every week which enjoys a weekly demand of 5 tons. Every time the plant does a setup, it costs the mill 10,000, mostly in labor and production losses. The cost of pipes is 2,000 per ton and the holding cost is 25 percent of the product cost. Determine the economic order quantity. What are the costs involved? If Jindal steel wants to produce cast pipes in batches of 40 tons, for what setup cost would this batch size be optimal