Given the same demand,setup/ordering costs,and holding costs,the EPQ will be:
A)greater than the EOQ.
B)equal to the EOQ.
C)smaller than the EOQ.
D)greater than or equal to the EOQ.
E)smaller than or equal to the EOQ.

Question

Quizplus · Accepted Answer

The Economic Production Quantity (EPQ) is typically greater than the Economic Order Quantity (EOQ) because EPQ accounts for production rates and allows for inventory to be replenished gradually, reducing holding costs compared to EOQ, which assumes instant replenishment.

Given the Same Demand,setup/ordering Costs,and Holding Costs,the EPQ Will Be