Does the EOQ increase or decrease if estimates of setup (order) costs include fixed, semi-variable, and pure

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Does the EOQ increase or decrease if estimates of setup (order) costs include fixed, semi-variable, and pure variable costs while inventory-holding costs includes only pure variable costs? Vice versa? What are the implications? Explain.

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OM operations management

ISBN: 978-1285451374

5th edition

Authors: David Alan Collier, James R. Evans

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Question Posted: Sep 17, 2015 02:58 AM

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Does the EOQ increase or decrease if estimates of setup (order) costs include fixed, semi-variable, and pure

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Because the EOQ model only depends on the order quantity fixed costs associated with any ordering or ...View the full answer

OM operations management

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