To determine the impact of quantity discounts on the economic order quantity, the total cost equation is calculated at the economic order quantity amount and then at each of the quantity discount points.

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This is a true statement. To determine the impact of quantity discounts on the economic order quantity, the total cost equation is calculated at the economic order quantity amount and then at each of the quantity discount points. This allows for the comparison of total costs at different order quantities and the identification of the most cost-effective option.

To Determine the Impact of Quantity Discounts on the Economic