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Sir I have seen in questions
“Replenishment order “
What does this term mean ?Replenishment means refill.
If I am short of inventory to supply to customers then I will need to order more from my suppliers.
This is in order to have more goods to be able to supply and we then say that we are replenishing (refilling) our inventory 🙂
So sir what’s the connection between refilling and EOQ ?
EOQ is based on the best quantity to order that is to minimize the inventory costs
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