Multiple Choice
If you have total annual cost (TAC) ,total annual setup cost (TASC) ,total annual holding cost (TAHC) ,and total annual materials purchase cost (TAMPC) ,then you can calculate total annual stock-out cost (TASOC) by this formula.
A) TASOC = TAC - TASC - TAHC - TAMPC
B) TASOC = TAC + TASC - TAHC - TAMPC
C) TASOC = TAC + TASC + TAHC - TAMPC
D) TASOC = TAC + TASC - TAHC + TAMPC
Correct Answer:

Verified
Correct Answer:
Verified
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