Answer Happy

At the supermarket, there is a stable demand of instant noodles, 120 boxes per month. The supermarket purchases the product from its supplier at the cost of $10 per box. The supermarket incurs a fixed cost of $100 per each order and the inventory holding cost is 1% of the purchasing cost. Which of the following is NOT true? If the monthly demand and the inventory holding cost increase by a factor of 2. EOQ remains the same o orderty wil 20 If the fixed cost increases by a factor of 4, EOQ will increase by a factor of 2 If the annual demand and the inventory holding cost increases by a factor of 2. the total "r annual cost remains the same o If the hxed cost increases by a factor of 4, the total annual cost will increase by a factor of 2