Question: While working a simple EOQ problem, you notice that, with a certain lot size, the annual ordering cost is exactly the same value as the

While working a simple EOQ problem, you notice that, with a certain lot size, the annual ordering cost is exactly the same value as the annual inventory carrying cost. Which of the following is true?

The annual ordering cost will increase if the order quantity is increased.

The annual carrying cost will decrease if the order quantity is increased.

The lot size is the economic order quantity.

The total cost is at its maximum.

While working a simple EOQ problem, you notice that, with a

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