If the annual demand is 4000 units, the economic order quantity (in units) is

Question

An item can be purchased for Rs.100. The ordering cost is Rs.200 and the inventory carrying cost is 10% of the item cost per annum. If the annual demand is 4000 units, the economic order quantity (in units) is                                                 

      (a) 50                                                                  (b) 100

      (c) 200                                                                (d) 400