In the calculation of economic order quantity, manufacturing costs for items produced in-house include the costs of setting up the production line.

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In the calculation of Economic Order Quantity (EOQ), the focus is on minimizing the total costs associated with ordering and holding inventory, which typically includes ordering costs (or setup costs for production) and holding costs, but does not directly consider the manufacturing costs of the items produced.

In the Calculation of Economic Order Quantity, Manufacturing Costs for Items