A company wants to calculate the economic order quantity (EOQ) for an item of inventory.

The following data is available in.

	A	B
1	Monthly Demand	1000 Units
2	Cost Of Placing an Order	$25
3	Cost of Holding one unit of inventory	$2.50 per annum
4	Economic order quantity	??

What the EOQ rounded to the nearest tenth? (You can use calculator or Excel spreadsheet)

a.

89.4

b.

9.8

c.

48.9

d.

489.9