11. The quantity of material to be ordered at one time is known as
(A) EOQ
(B) BOQ
(C) EBQ
(D) Re-order period
Answers
The quantity of material to be ordered at one time is known as EOQ (economic order quantity)
Answer:
(A) EOQ
The quantity of material to be ordered at one time is known as (A) EOQ
Explanation:
The quantity of materials which is economical to be ordered at one time is called as economic order quantity.
Economic order quantity (EOQ) is the ideal order quantity an organization ought to buy to limit stock expenses, for example, holding costs, deficiency expenses, and order costs.
EOQ is a significant cash flow device. The equation can assist an organization with controlling how much cash is restricted in the stock equilibrium. For some organizations, the stock is its biggest resource other than its HR, and these organizations should convey adequate stock to address the issues of clients.