At the supermarket, there is a stable demand of instant noodles. 120 bowes per month. The supermarket purchases the prod

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answerhappygod
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At the supermarket, there is a stable demand of instant noodles. 120 bowes per month. The supermarket purchases the prod

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At the supermarket, there is a stable demand of instant noodles.
120 bowes 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?
A. If the monthly demand and the imventory holding cost increase
by a factor of 2 .EOQ remains the same
B. If the fixed cost Increases by a factor of 4, EOQ will
increase by a factor of 2
C. If the annual demand and the inventory holding cost increases
by a factor of 2. the total annual cost remains the same
D. If the rixed cost increases by a factor of 4. the total
annual cost wil increase by a factor of 2
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