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A law firm always orders 60 cases of paper from their office supply company. They incur an annual holding cost of $15 per case and

A law firm always orders 60 cases of paper from their office supply company. They incur an annual holding cost of $15 per case and have an ordering cost of $25 each time they place an order. If their annual demand is 480 cases, how much could they save annually by switching to the economic order quantity?

$80

$50

$15

$25

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