In the basic economic order quantity model and in the production order quantity model, optimal behavior occurs where annual setup costs equal annual holding costs. Is this a coincidence, or a fundamental element of these models?
Answer in a well-constructed paragraph.

Question

In the basic economic order quantity model and in the production order quantity model, optimal behavior occurs where annual setup costs equal annual holding costs. Is this a coincidence, or a fundamental element of these models?
 Answer in a well-constructed paragraph.

Quizplus · Accepted Answer

The Answer of In the basic economic order quantity model and in the production order quantity model, optimal behavior occurs where annual setup costs equal annual holding costs. Is this a coincidence, or a fundamental element of these models?
 Answer in a well-constructed paragraph.

In the Basic Economic Order Quantity Model and in the Production