At the Optimal Order Quantity (EOQ),the Total Annual Inventory Cost

Multiple Choice

At the optimal order quantity (EOQ) ,the total annual inventory cost (TC) is given by ______.

A) TC = (Annual demand/EOQ) × Ordering cost per order/2 + (EOQ) × Holding cost per unit per year
B) TC = (Annual demand/EOQ) × Ordering cost per order + (EOQ/2) × Holding cost per unit per year
C) TC = (Annual demand/EOQ) × Ordering cost per order/2 + (EOQ/2) × Holding cost per unit per year
D) TC = (Annual Demand/EOQ) × Ordering cost per order + (EOQ) × Holding cost per unit per year