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Author Question: If the variables in the EOQ inventory model are defined as: S = total units demanded during the ... (Read 29 times)

Chloeellawright

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on: Jul 10, 2018
If the variables in the EOQ inventory model are defined as: S = total units demanded during the
  planning period, O = ordering costs per order, C = carrying costs per unit and Q = inventory order
  size in units, then the average level of inventory
 
  which a company should have during the
  planning period is
  A) 1/2 S. B) 2/3 Q. C) 1/2 Q. D) SO/C.

Question 2

Unsystematic risk
 
  A) is also known as nondiversifiable risk.
  B) can be diversified away.
  C) is system-wide risk.
  D) is equal to 2 times the systematic risk.


mochi09

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Reply #1 on: Jul 10, 2018
Answer to Question 1

C

Answer to Question 2

Answer: B


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