Ace the CMA 2026 Challenge – Unlock Your Accounting Superpowers!

In the Economic Order Quantity (EOQ) model, the condition for consistent deliveries is characterized by the idea that replenishment occurs immediately and reliably. This means that when inventory reaches a predetermined reorder point, the supplier delivers the ordered quantity without delay. The EOQ model assumes a controlled inventory environment where the timing of deliveries aligns perfectly with inventory levels, ensuring that stock is replenished right when it is needed.

This reliability is crucial because it helps businesses maintain optimal inventory levels, reducing the risks of stockouts or excess inventory, which can incur holding costs. The assumption of immediate and reliable replenishment enables organizations to effectively manage their reorder quantities and maintain steady operations.

In contrast, the other choices suggest scenarios that contradict the optimal conditions modeled by EOQ. Erratic deliveries, deliveries at random times, and the acceptance of only partial deliveries would disrupt inventory management and could lead to inefficiencies, making them inconsistent with the basic principles of the EOQ model.