Assumption in the economic order quantity model

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Reference no: EM131485151

Based on the constant demand assumption in the economic order quantity (EOQ) model, the average cycle inventory is:

a. the order quantity divided by the number of inventory cycles per year.

b. the annual demand divided by the number of inventory cycles per year.

c. half of the order quantity.

d. half of the annual usage.

Reference no: EM131485151

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