What does EOQ stand for and what does it help determine?

What does EOQ stand for and what does it help determine?

• A. Efficient Order Quantity; it optimizes reorder timing.
• B. Enterprise Order Quota; it sets annual purchase limits.
• C. Excess Order Quotation; it calculates discount thresholds.
• D. Economic Order Quantity; it helps determine the optimal order quantity to minimize total cost.

Answer: (D)