Which of the following is a dynamic lot-sizing technique that calculates the order quantity by comparing the carrying cost and the setup (or ordering) costs for various lot sizes and then selects the lot in which these are most nearly equal?
A) Economic order quantity
B) Lot-for-lot
C) Least total cost
D) Least unit cost
E) ABC analysis

Question

Quizplus · Accepted Answer

Least total cost is a dynamic lot-sizing technique that compares the carrying cost and setup costs for various lot sizes and selects the lot in which these costs are most equal. This technique considers all costs involved in ordering and carrying inventory, including inventory holding costs, ordering costs, and shortage costs, to minimize the total cost of inventory management.

Which of the Following Is a Dynamic Lot-Sizing Technique That