In the EOQ model with quantity discounts,if holding costs are given as a percentage of unit price,a graph of the total cost curves will have the same EOQ for each curve

Question

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If holding costs are given as a percentage of unit price, the total cost curves for different quantities will not be parallel. The EOQ for each curve will be different, and the lowest total cost may not occur at the same quantity every time.

In the EOQ Model with Quantity Discounts,if Holding Costs Are