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Sarah s Organic Soap Company makes organic liquid soap. One of the raw materials for her soaps is organic palm oil. She needs 1 ,

Sarahs Organic Soap Company makes organic liquid soap. One of the raw materials for her soaps is organic palm oil. She needs 1,300 kilogram of palm oil per day on average. The supplier charges a $70 delivery fee per order (which is independent of the order size) and $4.25 per kilogram. Sarahs annual holding cost is 25 percent. Assume she operates and sells five days per week, 52 weeks per year.
If Sarah wants to minimize her annual ordering and inventory holding costs, how much palm oil should she purchase with each order (in kilogram)?

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