Karloff Medical Supply maintains an average inventory of 2,000 human skulls for sale to medical schools and filmmakers. The carrying cost per skull per year is estimated to be $5. Boris places an order for 10,000 skulls on the first of each month and the order cost is $75. What are the total restocking costs under the current system?

A) $225
B) $450
C) $900
D) $950
E) $1,500

Restocking Costs

The expenses associated with replenishing inventory or goods in a business after sales or usage.

Order Cost

The total expenses associated with placing an order for goods or services, including procurement, delivery, and handling fees.

Carrying Cost

The total expense associated with holding inventory, including storage costs, insurance, and loss due to depreciation or obsolescence.