A company's annual cost of goods sold is $350 million, and inventory carrying cost is 18%. The company averages four inventory turns.

A company’s annual cost of goods sold is $350 million, and inventory carrying cost is 18%. The company averages four inventory turns.

A company’s annual cost of goods sold is $350 million, and inventory carrying cost is 18%. The company averages four inventory turns.

The cost savings resulting from increasing inventory turns from four to six would be:
A . $29,000,000.
B. $15,750,000.
C. $10,500,000.
D. $ 5,250,000.

Answer: D