42. The term incremental cost refers to a. the profit foregone by selecting one choice instead of another. b. the additional cost of producing or selling another product or service. c. a cost that continues to be incurred in the absence of activity. d. a cost common to all choices in question and not clearly or feasibly allocable to any of them 43. Which of the following is NOT an ordering cost? 2. cost of receiving inventory b. cost of preparing the order C. cost of the merchandise ordered d. cost of storing the inventory 44. _The size of the safety stock is directly affected by all of the following, except the a. cost of a stockout. 6. probability of a stockout. C. carrying cost of safety stock. d. economic order quantity. 45. In order to use the Optimum Production Run (OPR) formula, what must be TRUE? A. Set-up cost/set-up must be constant B. Carrying cost unit must be constant C. Manufacturing cost unit must be constant D. All of the above must be frie 46. The would NOT affect the economic order quantity EOQ). a company's hurdle rate b. cost of purchase requisition forms C. cost of insuring inventory d. cost of a stockout 42. The term incremental cost refers to a. the profit foregone by selecting one choice instead of another. b. the additional cost of producing or selling another product or service. c. a cost that continues to be incurred in the absence of activity. d. a cost common to all choices in question and not clearly or feasibly allocable to any of them 43. Which of the following is NOT an ordering cost? 2. cost of receiving inventory b. cost of preparing the order C. cost of the merchandise ordered d. cost of storing the inventory 44. _The size of the safety stock is directly affected by all of the following, except the a. cost of a stockout. 6. probability of a stockout. C. carrying cost of safety stock. d. economic order quantity. 45. In order to use the Optimum Production Run (OPR) formula, what must be TRUE? A. Set-up cost/set-up must be constant B. Carrying cost unit must be constant C. Manufacturing cost unit must be constant D. All of the above must be frie 46. The would NOT affect the economic order quantity EOQ). a company's hurdle rate b. cost of purchase requisition forms C. cost of insuring inventory d. cost of a stockout