Willard offers infestation services for friendly tenants according to the following price schedule: for up to 99 mice, the price is $1.05 each, for 100 up to 499 mice the price is $1.00 each, and for any order exceeding 500 mice, the cost is $0.95. He has a flat $1 delivery fee regardless of order quantity. Crystal will need 10,000 mice this year and face a $1 holding cost. What is her optimal order quantity?
A) 99
B) 100
C) 500
D) 2236
Correct Answer:
Verified
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