If Your Company Had an Annual Purchase Cost of Items

question 7

Multiple Choice

If your company had an annual purchase cost of items equal to $2,000,000, an annual holding cost of $150,000 and an annual ordering cost of $50,000 this scenario would reveal that:

• A) Your order size was lower than the EOQ
• B) Your order lot size was equal to the EOQ
• C) Your order lot size was higher than the EOQ
• D) Nothing because there is insufficient information to discern where the EOQ would be.

---

Definitions:

Neurological Problems

Issues or abnormalities in the nervous system, including the brain, spinal cord, and nerves, that can affect movement, cognition, and sensations.

Daddy Hormones

A colloquial reference to physiological changes in hormone levels observed in some men during their partner's pregnancy or after the birth of their child.

Oxytocin

A hormone and neurotransmitter involved in childbirth and lactation, also associated with empathy, trust, sexual activity, and relationship-building.

Vasopressin

A hormone secreted by the pituitary gland that regulates water balance in the body and plays a role in social behavior and bonding.