(Class Activity) A manufacturing firm has gone out on a bid to procure a component. The expected demand is 700 units per month. The item can be purchased from either Vendor A or Vendor B. Their price lists are shown in the table. The ordering cost is $50, and the annual holding cost per unit is 30% of the items value.

Vendor A		Vendor B
Quantity	Unit Price	Quantity	Unit Price
1-499	$16.00	1-399	$16.10
500-999	15.50	400-799	15.60
1000+	15.00	800+	15.10

Calculate the economic order quantity.

Which vendor is the optimal order quantity, and what is the total annual inventory cost?