What questionable assumptions are being made by eoq model

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The local hamburger fast-food restaurant purchases 20,000 boxes of hamburger rolls every month. Order costs are $50 an order, and it costs 25 cents a box for storage.

a. What is the optimal order quantity of hamburger rolls for this restaurant?

b. What questionable assumptions are being made by the EOQ model?

 

Reference no: EM13193492

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