The ______ is minimized when a company uses the economic ordering quantity (EOQ) model for its inventory management.

Question

Quizplus · Accepted Answer

The EOQ model is designed to minimize the total inventory cost, which includes the cost of ordering inventory and the cost of carrying inventory. By finding the optimal order quantity, companies can minimize the total inventory cost and therefore become more efficient in managing their inventory levels. The other options listed are not necessarily impacted by the use of the EOQ model.

The ______ Is Minimized When a Company Uses the Economic