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The Primary Difference Between the Basic EOQ Model and the EOQ

Question 18

Multiple Choice

The primary difference between the basic EOQ model and the EOQ with quantity discounts model is that


A) The basic EOQ model attempts to minimize costs, but the EOQ with quantity discounts model does not.
B) In the EOQ with quantity discounts model, the total cost equation includes the price per unit.
C) In the EOQ with quantity discounts model, carrying cost is not considered.
D) In the EOQ with quantity discounts model, order cost is not considered.

Correct Answer:

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