If the order quantity doubles but the flow rate remains constant, what happens to the sum of

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If the order quantity doubles but the flow rate remains constant, what happens to the sum of ordering and holding costs? 

a. Decreases by 50 percent. 

b. Decreases by less than 50 percent. 

c. Remains unchanged. 

d. Increases by less than 50 percent. 

e. Increases by 50 percent.

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Operations Management

ISBN: 9781260547610

2nd International Edition

Authors: Gerard Cachon, Christian Terwiesch

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