Inventory Management MCQs

Economic order theory assumes that the average inventory held is equal to one half of the reorder quantity

April 27, 2022

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Economic order theory assumes that the average inventory held is equal to one half of the reorder quantity

Q. Economic order theory assumes that the average inventory held is equal to one half of the reorder quantity.

A. Correct

B. Incorrect

Answer: Correct

Economic order theory assumes that the average inventory held is equal to one half of the reorder quantity

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In the economic order quantity or EOQ model the equation (D/Q) × CO calculates

Economic order theory assumes that the average inventory held is equal to one half of the reorder quantity

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The EOQ can be calculated using a

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