Annual demand has historically been about 15,000 units. Each unit costs about $40. For the annual report, due out in June, the corporate accounting department calculates inventory-holding costs by multiplying the value of each item by 0.40. The Director of Purchasing told you that his "cost of ordering" is about $82 per order. He is currently ordering 1,000 at a time. How large should the standard order size be for this product? How much are the Purchasing Director's policies costing your company?