Assume that Palmer Executive Pens uses 1,440,000 gallons of ink each year. Further, assume that Palmer can order the ink at a cost of $2 per gallon plus fixed ordering costs of $100 per order. The firms carrying cost is 20 percent of the inventory value, at cost. What is the EOQ? *

A. 21,456

B. 13,563

C. 26,833

D. 43,987

E. 30,040