The economic order quantity (EOQ) lot-sizing technique uses the "square root formula" to balance setup cost and carrying cost.

Question

Quizplus · Accepted Answer

The economic order quantity (EOQ) lot-sizing technique does use a formula to balance setup cost and carrying cost, but it is not necessarily referred to as the "square root formula." Nonetheless, A is the correct answer, as the EOQ formula involves taking the square root of values such as annual demand, setup cost, and carrying cost per unit to determine the optimal order quantity.

The Economic Order Quantity (EOQ) Lot-Sizing Technique Uses the "Square