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An online retailer estimates the annual demand for its headphones at 12,000 units.
The cost to place an order is $250, and the holding cost per unit per month is $1.5.
Which of the following represents the optimal order quantity for the headphones?
a. 1577
b. 1000 units
c. 733 units
d. 2000 units
e. 577 units

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