In computing Wilson's economic lot size for all items, by mistake, the – McqOptions

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1.	In computing Wilson's economic lot size for all items, by mistake, the demand rate estimate used was 40 per cent higher than the true demand rate. Due to this error in the lot size computation, the total cost of setup plus inventory holding per unit time would rise above the true optimum by approximately:
A.	25 percent
B.	18.3 percent
C.	28.3 percent
D.	8.3 percent
Answer» C. 28.3 percent

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