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If You Have Total Annual Cost (TAC),total Annual Setup Cost

Question 65

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:

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