Table $5.3$ The Medfield Import Autoparts Company Imports and Sells Standard Air

Table $5.3$
The Medfield Import Autoparts Company imports and sells standard air filters for most Japanese cars, and it operates under the continuous review system. The average demand for this item is 1200 units per month ( 14,400 per year) , and the standard deviation in monthly demand is 250 units. It costs the company $\$ 225$ to process each order, and the lead time is 2 months. The holding cost for one unit is $\$ 0.50$ per year, and the company policy is to maintain a 95 percent cycle- service level. You will need to refer to a normal table to answer the question(s) .
-Use the information in Table 5.3. What is the EOQ (economic order quantity) for this air filter?

A) less than or equal to 2,000 units
B) greater than 2,000 units but less than or equal to 3,000 units
C) greater than 3,000 units but less than or equal to 4,000 units
D) greater than 4,000 units