For the Single-Period Inventory Model with Probabilistic Demand,an Order Quantity

question 2

Multiple Choice

For the single-period inventory model with probabilistic demand,an order quantity smaller than the median demand is recommended when

• A)c_o < c_u
• B)c_o > c_u
• C)c_o /c_u < 1
• D)c_o + c_u < 1