1. If interest rate increases, what happens to the economic order quantity (EOQ)?
a. Decreases slightly
b. Increases significantly
c. Decreases significantly
d. Impossible to answer without more information
2. Under what conditions are both capacity requirements using overall factors (CPOF) and capacity bills likely to produce the same capacity requirement results?
A. When planning for a single product
B. When planning for a single work center
C. When planning for a single product that is produced in a single work center
D. The two methods will never return the same result