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متابعة

Economic order quantity is used to optimize:

A. Carrying cost

B. Ordering cost 

C. Both 

D. None of above

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تم إضافة السؤال من قبل Wasim khan wazir , Finance Specialist , Mott Macdonald
تاريخ النشر: 2016/04/04
Shahbaz Hayder
من قبل Shahbaz Hayder , Group Head of Finance , Sharif Group of Companies

EOQ will optimize both Carrying Cost and Ordering Cost. Thus, option C is the right answer.

Shazia Anees
من قبل Shazia Anees , Assistant Manager Finance , Arham Trading Company

Option C================================

Vinod Jetley
من قبل Vinod Jetley , Assistant General Manager , State Bank of India

C. Both >>>>>>>>>>>>>>>>>>>>>>>>>>>>

Mobeen Tahir
من قبل Mobeen Tahir , Credit Officer , Tawuniya Insurance

Option C is the right answer

Abdul Khalique
من قبل Abdul Khalique , Finance Manager , Value Real Estate & Construction

Thanks for invitation..

 

Economic order quantity is used to optimise ordering and carrying costs of inventory. EOQ represents the size of the order for which both ordering and carrying costs together are minimum. If purchases are made in large quantities, inventory carrying cost will be high. If the order size is small, ordering cost will be high. Hence, it is necessary to determine the order quantity for which ordering and carrying costs are minimum.

So, the answer is (C).

Ali Mohammed
من قبل Ali Mohammed

thanks for the invitation

Answer ( C ) Both

 

With my best wishes to you

Alaa Ibrahim Ahmed Ibrahim Yousuf
من قبل Alaa Ibrahim Ahmed Ibrahim Yousuf , Cash Administrator , Shabakkat Cellular Company

i fully agree with answer no 3

Ahmed Siddiq
من قبل Ahmed Siddiq , Billing specialist , Muhammed Al Ojaimi Contracting

Economic order quantity is used to optimize the ordering cost.

Ahmed Mohamed Ayesh Sarkhi
من قبل Ahmed Mohamed Ayesh Sarkhi , Shared Services Supervisor , Saudi Musheera Co. Ltd.

my choice is option " C " Both

 

Dasarathi Rath
من قبل Dasarathi Rath , Sr. Accountant , Al Luban Special Investment LLC

The size of an order for both ordering and carrying cost are minium is optimize an Economic Ordering quantity :- C. Both

HASSAN AHMED
من قبل HASSAN AHMED , Internal Auditor , TIE

The correct answer is C, because EOQ (Economic Order Quantity) minimizes carrying and ordering cost.