Answer:
$444.42
Explanation:
For computing the saving amount, first need to calculate the economic order quantity, total cost etc
The economic order quantity is 

where, 
Annual demand is 
= 774 packaging crates × 12 months 
= 9,932 crates
And, the carrying cost is 
= $12 × 34%
= $4.08

= 363.37 crates
Now the total cost is 
= Annual ordering cost + Annual carrying cost
= Annual demand ÷ Economic order quantity × ordering cost per order + Economic order quantity ÷ 2 × carrying cost per unit 
= 9,288 ÷ 363 × $29 + 363 ÷ 2 × $4.08
= $742.02 + $740.52
= $1,482.54
Now the total cost in case of 774 packing crates is 
= Annual ordering cost + Annual carrying cost
= Annual demand ÷ Economic order quantity × ordering cost per order + Economic order quantity ÷ 2 × carrying cost per unit 
= 9,288 ÷ 774 × $29 + 774 ÷ 2 × $4.08
= $348 + $1,578.96
= $1,926.96
So, the annual saving cost is 
= $1,926.96 - $1,482.54
= $444.42