Myer Holdings Ltd. sells baby comforters. Bird Ltd. manufactures many different baby comforters. Myer Holdings Ltd. orders 21,200 baby comforters per year, 408 per week, at $10 per comforter. Bird Ltd. covers all shipping costs. Myer Holdings Ltd. earns 20% on its cash investments. The purchase-order lead time is 2 weeks. Myer Holdings Ltd. sells 320 baby comforters per week. The following data are available (based on management's estimates):

Estimated ordering costs per purchase order $23

Estimated insurance, materials handling, breakage,

and so on, per year $7

Actual ordering costs per order $27

What is the economic order quantity using the estimated amounts?

	a.	698.3 baby comforters
	b.	232.8 baby comforters
	c.	493.8 baby comforters
	d.	329.2 baby comforters