If the minimum stock level and average stock level of raw material ‘A’ are 4,000 & 9,000 emits respectively, what is its reorder quantity
A company manufactures 5,000 units of a product per month. The cost of placing an order is ₹ 100. The purchase price of the raw material is ₹ 10 per kg. The average consumption of raw material is 275 kg per week. The carrying cost of inventory is 20% per annum. The economic order quantity is___
The method of regular physical verification of material throughout the year is known as
The method of regular physical verification of material throughout the year is known as Read More »
Which type of material is classified as ‘A’ type in ABC analysis?
Which type of material is classified as ‘A’ type in ABC analysis? Read More »
Which of the following formula cannot be used to calculate re-order level?
Which of the following formula cannot be used to calculate re-order level? Read More »
This is the quantity of inventory which is to be ordered when inventory reaches the reorder level. If it is set so as to minimise the total costs associated with holding and ordering inventory, then it is known as the economic order quantity
The two-bin system of stores control (or visual method of control) is one whereby each stores item is kept in two storage bins
In the ABC method materials are classified A, B or C according to their expense – group A being the expensive, group B the medium-cost and group C the inexpensive materials.
Inventory control levels can be calculated in order to maintain inventories at the optimum level. The three critical control levels are:
