A fundamental assumption of the basic EOQ Model is that a shortage will never occur. a. True b. False PERT uses three activity time values to obtain an estimate of the mean activity time and predictability of duration. a. True b. False The ABC classification system is also known as \"Pareto’s law\" or the \"80-20 rule\". a. True b. False The \"Economic Order Quantity\" occurs where the total annual carrying equals the total annual ordering cost. a. True b. False Solution A fundamental assumption of the basic EOQ Model is that a shortage will never occur. a. True PERT uses three activity time values to obtain an estimate of the mean activity time and predictability of duration. a. True The ABC classification system is also known as \"Pareto’s law\" or the \"80-20 rule\". a. True The \"Economic Order Quantity\" occurs where the total annual carrying equals the total annual ordering cost. a. True So all the above statements are true..