Economic Order Quantity Model:

a. economic order quantity model is used to forecast order sizes

A

Answer is A

A

Perfect answer for this Question is A) economic order quantity model is used to forecast order sizes.

But it also helps in deciding Sale price (only Valid if cost Mark-up Technique is used) as it defines minimum holding cost which is one the important part of total Cost. If total cost varies sale price varies.

E.g. (Other Cost20 + holding Cost10 = Total Cost30 x Mark-up10% = Sale Price33)

E.g. (Other Cost20 + holding Cost5 = Total Cost25 x Mark-up10% = Sale Price27.5)

Therefore Option C is also Correct. 

absolutely correct, i agree.

Option A is Correct: Economic order quantity (EOQ) is the order quantity that minimizes total inventory holding costs and ordering costs