How do interest rates affect the optimal order quantity q

Reference no: EM13300246

How do interest rates affect the optimal order quantity Q*?
a. As interest rates increase, Q* decreases.
b. As interest rates decrease, Q* decreases.
c. As interest rates increase, Q* increases until it reaches a maximum, after which any further increase in interest causes a decline in Q*.
d. none of the above.

Reference no: EM13300246

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