A Product Whose EOQ Is 40 Units Experiences a Decrease

question 138

Multiple Choice

A product whose EOQ is 40 units experiences a decrease in ordering cost from $90 per order to $10 per order.The revised EOQ is:

• A)three times as large.
• B)one-third as large.
• C)nine times as large.
• D)one-ninth as large.
• E)cannot be determined

Understand what motivates salespeople according to research.

Analyze the cost-effectiveness of building a salesforce versus hiring independent agents.

Appreciate ethical considerations in sales, particularly regarding competitive intelligence.

Identify the keys to delivering effective need-satisfaction presentations.

---

Definitions:

Firm

An organization or business entity engaged in commercial, industrial, or professional activities.

Firm's Output

The aggregate amount of products or services a company generates within a given timeframe.

Firm's Output

The total amount of goods or services produced by a firm over a given period of time.

Profit Per Unit

The amount of income that a company earns above its costs for producing one unit of a good or service.