If Annual Demand Is 50,000 Units, the Ordering Cost Is

question 93

Multiple Choice

If annual demand is 50,000 units, the ordering cost is $25 per order, and the holding cost is $5 per unit per year, which of the following is the optimal order quantity using the fixed-order-quantity model?

• A) 909
• B) 707
• C) 634
• D) 500
• E) 141

---

Definitions:

Randomized Controlled Trials

An experimental study design used to evaluate the effectiveness of an intervention by randomly assigning participants to groups.

MST

Short for Multisystemic Therapy, a therapeutic intervention focused on addressing the various systems surrounding a youth (family, peers, school, neighborhood) to improve behavior.

Treatment Effects

The impact or outcomes that result from a particular medical or psychological intervention or treatment.

Systems Therapies

A form of psychotherapy that views psychological problems as arising from within the individual's present environment and relationships, focusing on dynamics within the family or other systems.