Due to unprecedented growth during the year Denise's Flowers decided to use some of its surplus cash to increase the size of several inventory order quantities that had been previously determined using an EOQ model.
Required:
For each of the following items tell whether the increase in order size caused an increase, a decrease, or no change.
-number of orders per year

Question

Quizplus · Accepted Answer

Increasing the order size beyond the Economic Order Quantity (EOQ) results in fewer orders being placed per year, as each order now covers a larger amount of inventory.

Due to Unprecedented Growth During the Year Denise's Flowers Decided