Which of the following formula cannot be used to calculate re-order level —

CS Executive · Cost and Management Accounting · PYQS · December 2014
Which of the following formula cannot be used to calculate re-order level —
(A) Minimum level + consumption during lead time
(B) Maximum consumption × maximum re-order period
(C) Maximum consumption × lead time + safety stock
(D) Minimum consumption × minimum re-order period.

Answer & Explanation:

Correct Answer: Option (D)

Correct answer: (D) Minimum consumption × minimum re-order period..

Topics: Material Costing

Open in Interactive Practice Hub · Full Practice Hub · Chapter Weightage · More in this subject

Related Questions in this Topic