Question

Which of the following statements is NOT true of economic order quantity (EOQ)? Group of answer choices The optimal order size is determined by the EOQ model. The EOQ is directly proportional to the sales per period. The EOQ ignores inventory reorder costs and inventory carrying costs. The economic order quantity (EOQ) mathematically determines the minimum total inventory cost.

Answer 1

The option that isn't true of economic order quantity is C. The EOQ ignores inventory reorder costs and inventory carrying costs.

What is economic order quantity?

It should be noted that economic order quantity means an inventory technique that is used to make effective and efficient decisions.

In this case, the option that isn't true of economic order quantity is that the EOQ ignores inventory reorder costs and inventory carrying costs.

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