A company sells 2,000,000 units of a particular product evenly throughout the year.

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answerhappygod
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A company sells 2,000,000 units of a particular product evenly throughout the year.

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The purchase price of the product is $22 per unit. The cost of placing an order is $20, the cost of holding one unit of stock for a year is $5 and the economic order quantity is 4,000 units.
What is the total annual cost of trading in this product?
A. $44,230,000
B. $44,030,000
C. $44,020,000
D. $44,010,000
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