Eoq formula, Microeconomics

Assignment Help:

EOQ formula 

The EOQ equation assumes demand is constant and steady. It also assumes that demand for different items is independent. This is inappropriate for controlling inventories in intermittent systems of assembled products where demand for lower level items is dependent on demand for finished goods. Consider the Ford Motor Company.

Demand for wheels or tyres are very much related to the demand for engines. So for components and raw materials it is wrong to apply the EOQ model.


Related Discussions:- Eoq formula

Economic reforms and reduction of regional disparities, Economic Reforms an...

Economic Reforms and Reduction of Regional Disparities: Another important objective of development is to reduce regional disparities. Government has been helping the backward

Demand of pepsi cola goes up, If the quantity demanded of Pepsi Cola goes u...

If the quantity demanded of Pepsi Cola goes up, and its supply enhances what will occur in the market for Pepsi?

Explain about neoliberalism, Q. Explain about Neoliberalism? Neoliberal...

Q. Explain about Neoliberalism? Neoliberalism: A modern, harsher incarnation of capitalism that became dominant globally beginning in early 1980s, largely as a reaction to inte

Micro., what is the theory of second best? prove the theorem with the help ...

what is the theory of second best? prove the theorem with the help of a diagram.

Competitiveness in your industry, a) Collect costs, revenue data, or other ...

a) Collect costs, revenue data, or other data from the industry that you deem relevant. Describe how you would modify the data in order to make it relevant to decisions a manager m

Macro, supply and demand

supply and demand

Indifference curves, Indifference curves present all possible combinations ...

Indifference curves present all possible combinations of market baskets that give the similar level of satisfaction to a person. Indifference Curves 1. Indifferen

Market income and socialism, Q. Market Income and Socialism? Market Inc...

Q. Market Income and Socialism? Market Income: A household's total pre-tax income obtained from its activities in formal economy, including salaries andwages, investment income

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd