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Which of the following is not an assumption of the basic eoq model?

a. rate of demand is constant
b. shortages are not allowed
c. delivery is gradual
d. lead times are known with certainty
e. purchase price, ordering cost, and per-unit holding cost are independent of quantity ordered
f. items are ordered independently of each other

1 Answer

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Final answer:

The assumption that is not part of the basic EOQ model is delivery is gradual.

Step-by-step explanation:

The basic Economic Order Quantity (EOQ) model is used to determine the optimal order quantity for inventory management. The assumptions of the basic EOQ model include:

Therefore, the assumption that is not part of the basic EOQ model is c) delivery is gradual. In the EOQ model, it is assumed that delivery is instantaneous.

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