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Author Question: Which of the following statements about the basic EOQ model is true? (Read 34 times)

Beheh

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Question 1

In the basic EOQ model, if D = 6000 per year, S = $100, H = $5 per unit per month, the economic order quantity is approximately
◦ 490.
◦ 141.
◦ 600.
◦ 24.
◦ 100.

Question 2

Which of the following statements about the basic EOQ model is true?
◦ If the ordering cost were to double, the EOQ would rise.
◦ If the carrying cost were to increase, the EOQ would fall.
◦ If annual demand were to double, the number of orders per year would increase.
◦ If annual demand were to double, the EOQ would increase.
◦ All of the above statements are true.


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Marked as best answer by Beheh on Dec 3, 2019

sabina576

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Beheh

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Reply 2 on: Dec 3, 2019
YES! Correct, THANKS for helping me on my review


skipfourms123

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Reply 3 on: Yesterday
Great answer, keep it coming :)

 

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