About 50 units are required every day for a machine. Fixed cost of ₹50 is incurred for placing an order. The inventory carrying cost per unit amounts to ₹0.02 per day. The lead period is 32 days. Economic Order Quantity
CS Executive · Cost and Management Accounting · PYQS · December 2015
About 50 units are required every day for a machine. Fixed cost of ₹50 is incurred for placing an order. The inventory carrying cost per unit amounts to ₹0.02 per day. The lead period is 32 days. Economic Order Quantity is —
Answer & Explanation:
Correct Answer: Option (C)
Official answer key: (C).
Topics: Material Costing
Related Questions in this Topic
- The use of LIFO system is suitable :
- 'Standard Price Method' of pricing material issues is :
- Which of the following is not an objective of store-keeping ?
- You are given the following information in respect of Material Y: Re-order Quantity : 360 units Re-order Period : 3 to 5...
- Raja manufacturing company requires 2000 units of raw material per month. The ordering cost is ₹25 per order. The carryi...