McKenzie Corporation Consumes 1,200,000 Gallons of Material Y Per Year

McKenzie Corporation consumes 1,200,000 gallons of Material Y per year.Its order quantity is 30,000 gallons.It maintains a safety stock of 10,000 gallons and its annual carrying costs are $0.25 per gallon per year.If the ordering cost is $20 per order,what are the total annual ordering costs?

A) $600
B) $800
C) $8,300
D) $1,200