Question
14. The Fed increases the interest rate suddenly, leading to a sharp and immediate increase in loan interest rates. How will the EOQ behave in
14. The Fed increases the interest rate suddenly, leading to a sharp and immediate increase in loan interest rates. How will the EOQ behave in the immediate/short run? Assume all other variables stay relatively unchanged in the immediate term.
EOQ = Sq root of [(2D*S)/H]
D = annual demand in units
S = cost of placing 1 order; H = cost of holding 1 unit of that item in inventory for 1 year
| EOQ will increase
| ||
| EOQ will not be affected
| ||
| EOQ will decreas |
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Healthcare Via Wealthcare The 80 20 Way
Authors: Raj Baberwal
1st Edition
0557193001, 978-0557193004
