Q12. Economic order quantity (EOQ). Tinnendo, Inc. believes it will sell 4 millionzen-zens, an electronicgame, this coming year. Note that this figure is for annual sales. The inventory manager plans to orderzen-zens 43 times over the next year. The carrying cost is $0.03 perzen-zen per year. The order cost is $515 per order. What are the annual carryingcost, the annual orderingcost, and the optimal order quantity for thezen-zens? Verify your answer by calculating the new total inventory cost.

What is the annual carrying cost for thezen-zens?