Costs associated with lot-for-lot sizing can be obtained by dividing the number of orders that are made using lot-for-lot by the cost of an order or setup.

Question

Quizplus · Accepted Answer

Costs associated with lot-for-lot sizing cannot be obtained by simply dividing the number of orders by the cost of an order or setup, as there are other factors to consider such as inventory holding costs and machine downtime.

Costs Associated with Lot-For-Lot Sizing Can Be Obtained by Dividing