Holding or carrying cost is directly proportional to order size,as order size increases,so does the holding cost.

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Holding or carrying cost is the cost of holding inventory in stock, including storage costs, insurance, and other expenses. As the order size increases, the overall inventory level also increases, leading to higher holding costs. Thus, holding or carrying cost is directly proportional to order size.

Holding or Carrying Cost Is Directly Proportional to Order Size,as