A. executing order
B. processing order
C. opportunity cost
D. none of these
✅ The correct answer is option B.
Order cost is cost of the processing order. Ordering costs are the expenses incurred to create and process an order to a supplier. These costs are included in the determination of the economic order quantity for an inventory item.
Order cost is cost of the processing order. Ordering costs are the expenses incurred to create and process an order to a supplier. These costs are included in the determination of the economic order quantity for an inventory item.