The purchase price of a product has no influence on calculating EOQ.

Name: The purchase price of a product has no influence on calculating EOQ.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

The Economic Order Quantity (EOQ) formula includes the setup costs (or ordering costs) and the holding costs, both of which can be influenced by the purchase price of the product, especially if the costs are a percentage of the purchase price.

The Purchase Price of a Product Has No Influence on Calculating