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Which One of the Following Is Not an Assumption of the EOQ

Question 188

Multiple Choice

Which one of the following is not an assumption of the EOQ model?


A) Decisions for one item can be made independently of decisions made for other items.
B) There is no uncertainty in lead-time.
C) The amount of an order received is exactly equal to what was ordered, without any "short shipments" from a supplier or scrap losses in the shop.
D) Quantity discounts can be taken advantage of for large lot sizes.

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