Which of the Following Statements Is True of Allianz's EOQ

question 105

Multiple Choice

Which of the following statements is true of Allianz's EOQ system costs?

• A) At EOQ, the annual relevant ordering costs is exactly the half of annual relevant carrying costs.
• B) At EOQ, the annual relevant carrying costs is higher than the annual relevant ordering costs.
• C) At EOQ, the annual relevant carrying costs is exactly the half of the annual relevant total costs.
• D) At EOQ, the annual relevant carrying costs is equal to the annual relevant total costs.

---

Definitions:

Life Stress

A term referring to the physical and psychological strain or tension resulting from one's response to challenges, demands, and changes in life.

Lazarus

Often associated with the psychological concept of stress and coping mechanisms, inspired by the work of psychologist Richard Lazarus.

Avoidance-Avoidance Conflict

A conflict arising from having to choose between undesirable alternatives.