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Beeswax Candle Company manufactures natural beeswax candles to be used in churches. Their standard 24” x 2” diameter candle is demanded at a rate of 520 candles per month. It costs $1000 to set up the molds to craft this particular model; once the molds are set up, they will continue to make candles until the batch is completed. Each candle sells for $500; the holding cost per candle per year is 10% of that selling price. Once the batch is completed, the company will go on to make other models of candle until such time as they run out and need to make another batch. Once production starts, the company can make candles at a rate of 680 candles per month.

How many candles should Beeswax Candle Company manufacture in each batch in order to minimize their annual batch setup and inventory holding costs?