The economic purchase lot is an important tool for companies that want to minimize the total cost of inventories. This cost is formed by the sum of the annual order, annual storage and annual acquisition costs, with the economic purchase lot being the minimum point of the total annual cost curve. Regarding the economic lot, mark the correct alternative:  ( ) The annual storage cost is independent of the economic lot size of purchase ( ) The annual ordering cost can be considered equal to zero if the company makes all purchases of materials without delay. ( ) The demand does not need to be known for the economic purchase lot to be found, as it is not used in the calculation of the total annual cost. ( ) The annual acquisition cost is calculated from the values ​​of the safety stock level that the company intends to use throughout the year ( ) The economic purchase lot can also be found disregarding the annual acquisition cost, as this is always constant

Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter2: Introduction To Spreadsheet Modeling
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The economic purchase lot is an important tool for companies that want to minimize the total cost of inventories. This cost is formed by the sum of the annual order, annual storage and annual acquisition costs, with the economic purchase lot being the minimum point of the total annual cost curve. Regarding the economic lot, mark the correct alternative: 

( ) The annual storage cost is independent of the economic lot size of purchase

( ) The annual ordering cost can be considered equal to zero if the company makes all purchases of materials without delay.

( ) The demand does not need to be known for the economic purchase lot to be found, as it is not used in the calculation of the total annual cost.

( ) The annual acquisition cost is calculated from the values ​​of the safety stock level that the company intends to use throughout the year

( ) The economic purchase lot can also be found disregarding the annual acquisition cost, as this is always constant

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