Question: true or false 6. The EOQ formula is not a realistic formula in most business environments since the underlying assumptions (ie. 1. Demand is known

true or false

6. The EOQ formula is not a realistic formula in most business environments since the underlying assumptions (ie. 1. Demand is known and 2. Both Order costs and Inventory carrying costs are known) are not practically available. 7. Theoretically, one would have to hold an infinite safety stock to assure 100% service levels 8. In real world situations, the amount of safety stock needed is primarily a function of its demand variability

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