The basic EOQ model is most relevant for which one of the following?
A)Ordering items with dependent demand.
B)Determination of safety stock.
C)Ordering perishable items.
D)Determining fixed interval order quantities.
E)Determining fixed order quantities.

Question

Quizplus · Accepted Answer

The basic EOQ model is used for determining the optimal order quantity for items with independent demand in order to minimize inventory costs. It is specifically used for determining the fixed order quantities. The other options listed are not directly related to the basic EOQ model.

The Basic EOQ Model Is Most Relevant for Which One