If the EOQ assumptions are met and a company orders more than the economic order quantity, then
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If the EOQ assumptions are met and a company orders more than the economic order quantity, then
a. total annual holding cost will be greater than the total annual ordering cost.
b. total annual holding cost will be less than the total annual ordering cost.
c. total annual holding cost will be equal to the total annual ordering cost.
d. total annual holding cost will be equal to the total annual purchase cost.
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Related Book For
Quantitative Analysis For Management
ISBN: 213168
12th Edition
Authors: Barry Render ,Ralph M. Stair ,Michael E. Hanna
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