Use the givens provided below to solve this problem.

Annual demand $=3500$

Holding cost $=40\%$ of unit cost

Present lot size $=500$

Unit cost $=$$$200$ per unit

Ordering cost $=$$$900$ per order

This company will no longer use their present lot size. The company is switching Calculate the average inventory if the company used the EOQ as their lot size.

Choose the closest answer.

$281$

$168$

$84$

$140$

$210$

$183$