The economic order quantity will be optimal when all five assumptions are satisfied. In reality, few situations are so simple. Nonetheless, the EOQ is often a reasonable approximation of the appropriate lot size, even when several of the assumptions do not quite apply. Which scenario of the following indicates to use the EOQ? If the order size is constrained by capacity limitations such as the size of the firm's ovens, amount of testing equipment, or number of delivery trucks If your carrying costs per unit and setup or ordering costs are known and relatively stable If significant quantity discounts are given for ordering larger lots If replenishment of the inventory is not instantaneous, which can happen if the items must be used or sold as soon as they are finished without waiting until the entire lot has been completed