A customer and a supplier in a supply chain are planning to coordinate their orders together to maximize the total benefits of the supply chain. Total demand is $1000$ units per year. The holding cost ration for both is $0\mathrm{.}2.$ The unit cost for customer is $$140$ and for supplier is $$120.$ The ordering cost of customer is $$110,$ and for supplier is $$90.$ How much is the economic order quantity if they order together? How much is the total cost of the supply chain for ordering and holding inventory?

Question $34$ options:

Q$=85\mathrm{.}6,$ TC$=$$$4516$

Q$=87\mathrm{.}7,$ TC$=$$$4560$

Q$=87\mathrm{.}7,$ TC$=$$$4516$

Q$=85\mathrm{.}6,$ TC$=$$$4560$