In an ideal inventory control system, the economic lot

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In an ideal inventory control system, the economic lot size for a part is 1000. If the annual demand for the part is doubled, the new economic lot size required will be

1. 500
2. 2000
3. 1000 / √2
4. 1000 √2

Correct Option: D

EOQ ∝ √D
EOQ = 1000

	EOQ¹	=	EOQ
	√D		√D

EOQ¹ = 1000 ×	√2D	= 1000√2
	√D