Figure 7-1 Use the Graph Below to Answer the Question(s)

Multiple Choice

Figure 7-1
Use the graph below to answer the question(s) .

-If the actual order quantity is the economic order quantity in a problem that meets the assumptions of the model,the average amount of inventory on hand

A) is zero
B) is affected by the amount of product cost
C) is one-half of the economic order quantity
D) is smaller than the holding cost per unit
E) cannot be determined from the given information