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Wish I had studied in school while I had the chance, but struggling to understand how this is done.
When the formula is rearranged, with Ch as the subject, Ch equals:
A
? 2CoD/Q²B
? 4CoD/Q²C
? 2CoD/QD
2CoD/QAnswer is “A”
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I will use simplier algebra to explain,the EOQ formula is ?2cd/h where c=cost of order per annum,d=annual demand,h=cost of holding per annum,q=EOQ
q=?2cd/h
q²=2cd/h
q²h=2cd
h=2cd/q²
So the answer is near A but still answer A should not have the square root in front
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