QUESTION 9 The Active Finishing Company uses 1 000 gallons of dye(product Code 704)per day. The dye can be purchased in drums containing 100 gallons for $50 per drum, or in 1 000 gallon drums for $450 per drum Ordering costs are $10 per order. The company's accountant has estimated the following costs associated th carrying inventory Required rate of return for funds invested in inventory: 15%(of the price of the goods) Insurance on inventory: 5% of inventory cost per year• QUESTION 9 • • The Active Finishing Company uses 1 000 gallons of dye (Product Code 704) per day. The dye can be purchased in drums containing 100 gallons for $50 per drum, or in 1 000 gallon drums for $450 per drum. Ordering costs are $10 per order. The company's accountant has estimated the following costs associated with carrying inventory: • · Required rate of return for funds invested in inventory: 15% (of the price of the goods). • · Insurance on inventory: 5% of inventory cost per year