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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,

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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. 493.8 baby comforters b.329.2 baby comforters OC 232.8 baby comforters Od. 698.3 baby comforters

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