Figure 7-1 Use the Graph Below to Answer the Question(s)

Multiple Choice

Figure 7-1
Use the graph below to answer the question(s) .
-Which of the following is TRUE in relation to Figure 7-1?

A) Curve J represents the annual ordering cost,and curve K represents the annual holding cost.
B) A lot size of G has an annual total cost of about C.
C) At lot size H both holding costs and ordering costs exceed the annual total cost.
D) The EOQ is most likely lot size G,and curve L is the annual ordering cost curve.