The Economic Order Quantity (EOQ)

Multiple Choice

The Economic Order Quantity (EOQ) :

A) Is used to calculate how much safety stock should be carried
B) Will depend on how many related parts are required in the same period
C) Determines the lowest order quantity by balancing the cost of ordering against the cost of holding stock
D) Should be calculated once a year
E) Is a formula that calculates a realistic purchase price for an item