Sensitivity analysis of EOQ refers to
A)the attitude of top management toward the use of the EOQ model.
B)analysis of how much the EOQ will change if different input values are used.
C)an assessment of the impact of obsolescence upon the EOQ.
D)a study of the impact of storing incompatible products in the same warehouse.

Question

Quizplus · Accepted Answer

Sensitivity analysis of EOQ refers to evaluating how changes in input values such as ordering costs, holding costs, demand, and lead time affect the EOQ. Option A, C, and D are not related to sensitivity analysis of the EOQ.

Sensitivity Analysis of EOQ Refers to