Select the FALSE statement about an inventory system. A)The objective of minimum total inventory cost must be balanced against a customer service level necessary to maximise profits. B)EOQ is the size of inventory that minimises only the cost of carrying inventory. C)There is a tradeoff between inventory carrying costs and the probability of stockouts. D)Inventory carrying costs usually increase as the level of customer service increases.

Select the FALSE statement about an inventory system.
A)The objective of minimum total inventory cost must be balanced against a customer
service level necessary to maximise profits.
B)EOQ is the size of inventory that minimises only the cost of carrying inventory.
C)There is a tradeoff between inventory carrying costs and the probability of stockouts.
D)Inventory carrying costs usually increase as the level of customer service increases.
by

1 Answer

Answer :

B)EOQ is the size of inventory that minimises only the cost of carrying inventory.
by

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