Inventory planning and control Question:

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Why do you need to recompute stocking costs for the EOQ level?

Inventory planning and control Interview Question
Inventory planning and control Interview Question

Answer:

In order to compare stock costs when using the EOQ model you must compute the costs for both the original level and the EOQ level of order quantities.

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Do you know what do the letters in the EOQ and stocking cost formula stand for?Tell me what makes a good forecasting model?