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Tiger Hat Inc. (THI) wants to know the optimal amount to order to meet demand. You have been hired to calculate this using the EOQ model. THI's weekly demand is 950 units and THI worked 50 weeks per year. The ordering cost for THI is $20 per order. Also, it costs THI $8 per unit year to hold a unit in the inventory for a year.
The EOQ for THI given the data in the scenario above is closest to:
a. 480
b. 490
c. 500
d. 510
e. none of the above
f. do not know
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