Question $4$

$1$ pts

In the basic EOQ model, the variable Material Cost C does not change. Therefore, we focus only on the Total Relevant Cost, equal to the sum of the Ordering Cost and the Holding Cost.

In contrast, in the Quantity Discount model, the variable Material Cost $C$ also changes, and therefore we need to focus on the Total Cost, equal to the sum of the Material Cost, the Ordering Cost, and the Holding Cost.

True

False