Which of the following is part of the determination of EOQ?
A)cost of production labor
B)cost of stockouts
C)purchase cost
D)annual demand

Question

Quizplus · Accepted Answer

EOQ (Economic Order Quantity) is a formula used to determine the optimal order quantity that minimizes the total inventory costs, which include ordering costs and holding costs. Annual demand is a critical factor in calculating EOQ as it directly influences how much inventory is needed over a specific period.

Which of the Following Is Part of the Determination of EOQ