economic order quantity

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Related to EOQ formula: EOQ Model

economic order quantity

That quantity derived from a mathematical technique used to determine the optimum (lowest) total variable costs required to order and hold inventory.
References in periodicals archive ?
Usually, we promise there will be no math, but the EOQ formula, [square root of 2AS/iC], originally developed in 1913 by Ford W Harris, is still widely used in inventory management to calculate the optimum production run or purchase quantity.
The EOQ calculations shown on the Data Sheet were determined using the following EOQ formula adjusted for quarterly sales.
Ritchie [12] obtained an exact solution, having the simplicity of the EOQ formula, for Donaldson's problem for a linear, increasing demand.