explain Quantity Discounts (4 of 6) . The total cost equation yields U shape total cost curves . There are cost curves for each price level . The feasible total cost begins with the top curve, then drops down, curve by curve, at the price breaks . E O Q s do not necessarily produce the best lot size . The E O Q at a particular price level may not be feasible . The E O Q at a particular price level may be feasible but may not be the best lot size