All Seasons Flower Shop uses 750 clay pots a month. The pots are purchased at $ 2 each. Annual holding cost per pot is estimated to be 30% of purchase cost. Ordering cost is $ 20 per order. The shop operates 12 months in a year.

What would be the difference in annual ordering cost if an order quantity of 1500 is used instead of the EOQ. Note: calculate the difference as the annual ordering cost with Q = 1500 the annual ordering cost with EOQ.