Cost Accounting

1The level of inventory at which a new order should be placed is the

2Opening stock 100 units at GH¢5; purchases 200 units at GH¢6; 150 units issued. Using FIFO, the cost of issues is

3Annual demand 4,000 units, order cost GH¢50, holding cost 20% of GH¢10 unit price. EOQ is

4The stock level at which a new order should be placed is the

5The document used to request materials from the store for production is the

6Daily usage is 50 units and the lead time is 6 days. With no safety stock, find the reorder level.

7The document used to request materials from the store is the

8Annual demand 2,000 units, ordering cost GH¢20 per order, holding cost GH¢2 per unit per year. EOQ is

9Counting a few items in the store each day so that all items are checked over the year is

10Reorder level = maximum usage ×