In the EOQ Model,if Quantity Discounts Are Offered,buying a Larger

question 87

Multiple Choice

In the EOQ model,if quantity discounts are offered,buying a larger quantity just because of the lower per-unit purchase price ______.

• A)might not result in the minimum total annual cost because the holding costs are likely to increase
• B)will result in the minimum total annual cost
• C)might not result in the minimum total annual cost because the ordering costs are likely to increase
• D)will result in the highest total annual cost

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Definitions:

Behavioral Learning

The process by which individuals learn behavior patterns based on their environment and experiences.

Cue

A signal or prompt that influences a person's behavior or actions.

Drive

The motivation or inherent force that pushes an individual or business towards reaching a certain goal.

Stimulus Generalization

A psychological phenomenon where a response to a specific stimulus becomes associated with similar stimuli, leading to a similar response without explicit training.