Question: Consider an inventory model where the annual ordering cost is $5,000 , and the annual holding cost is $4,000 . Suppose the current order size

Consider an inventory model where the annual ordering cost is$5,000, and the annual holding cost is$4,000. Suppose the current order size is600units at a time. Which one of the following statements isTRUEabout the optimal order quantity (EOQ)?

EOQ <= 600
Not enough information to compare EOQ and 600.
EOQ >= 600
EOQ = 600

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