3. 35 In the basic EOQ model, if lead time increases from five to 10 days, the EOQ will: 1. double 2. increase, but not double 3. decrease by a factor of two 4. remain the same 5. none of the above 4. 45 Which type of processing system tends to produce the most product variety? 1. continuous production 2. batch processing 3. repetitive production 4. job shop 5. cellular manufacturing 5. 29 Increased setup times equal increased work in process inventories. 1. True 2. False 6. 49 Costs of inspectors, testing, test equipment, and labs are examples of: 1. internal failure costs 2. external failure costs 3. appraisal costs 4. prevention costs 5. replacement costs