On an annual requirement of 150 items spread evenly throughout the year, a purchaser has an opportunity of buying all 150 units at a price of $175 each, or buying 10 units at a time at a price of $200. If the inventory carrying cost is 20 percent per year and assuming no ordering costs ________.

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4 points

A) buying 150 at a time will save the company $3,750 per year

B) buying 150 at a time will save the company $1,325 per year

C) buying 10 at a time will save the company $2,450 per year

D) buying 10 at a time will save the company $2,130 per year