Which of the following is an assumption of the basic EOQ model? O Orders arrive at once (in one lot). O Lead time is unknown. O Demand may be seasonal. O Lost sales are allowed, but not back orders. O Quantity discounts are considered. If the EOQ is ordered, which of the following is TRUE? O The annual holding cost curve is decreasing. O Annual holding cost exceeds annual ordering cost. O Annual ordering cost exceeds annual holding cost. O Annual ordering cost is equal to annual holding cost. O The sum of annual ordering cost plus annual holding cost is maximized.