The EOQ formula works best when inventory items are dependent on one another.

Question

Quizplus · Accepted Answer

The EOQ formula is designed to work best for inventory items that are independent of each other. This means that demand for one item does not depend on the demand for another item. In cases where inventory items are dependent on one another, more complex inventory models such as the MRP (Material Requirements Planning) model may be more appropriate.

The EOQ Formula Works Best When Inventory Items Are Dependent