A Shoe Business Meets the Qualifications for Using the Economic

question 29

Multiple Choice

A shoe business meets the qualifications for using the economic order quantity (EOQ) model.The business sells 20,000 pairs of shoes per year.Ordering costs for supplies are $12 per order.Holding costs are $0.96 per pair of shoes per year.What is the EOQ for this business?

• A) 500
• B) 708
• C) 1,667
• D) 19,200

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Definitions:

Maslow's Hierarchy

A psychological theory proposed by Abraham Maslow that categorizes human needs into five levels, from basic physiological needs to self-actualization, influencing motivation and behavior.

Win-Lose

A competitive scenario where one party's gain is directly proportional to another's loss, suggesting a zero-sum game.

Negotiations

The process of discussing terms in order to reach a mutual agreement or compromise between parties.

Business Growth

The process of improving some measure of a company's success, often seen through increases in revenue, client base, or market share.