Rocky Mountain Tire Center sells

12,000

go-cart tires per year. The ordering cost for each order is

$35,

and the holding cost is

50%

of the purchase price of the tires per year. The purchase price is

$24

per tire if fewer than

200

tires are ordered,

$16

per tire if

200

or more, but fewer than

5,000,

tires are ordered, and

$14

per tire if

5,000

or more tires are ordered.

Part 2

a) How many tires should Rocky Mountain order each time it places an order?

Rocky Mountain's optimal order quantity is

50005000

units (enter your response as a whole number).

Part 3

b) What is the total cost of this policy?

Total annual cost of ordering optimal order

size=$enter your response here

(round your response to the nearest whole number).