+1 862 207 3288 Figure 3 on page 202 shows inventory costs versus order quantity with emphasis on the total cost, ordering cost, and the carrying cost.
Discuss the significance of the shape of each curve and how it can be described in “plain language.” The curves also provide a
graphical representation of the optimal order quantity. Discuss the significance of this point and why it coincides with the point of
minimum total cost.
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