快速查题-ACCA英国注册会计师试题

What is the economic batch quantity used to establish?Optima

A company determines its order quantity for a raw material by using the Economic Order Quantity (EOQ) model.What would be the effects on the EOQ and the total annual holding cost of a decrease in the cost of ordering a batch of raw material?

Data relating to a particular stores item are as follows: 

Average daily usage                                                                400 units

Maximum daily usage                                                              520 units

Minimum daily usage                                                               180 units

Lead time for replenishment of inventory 10 to 15 days 

Reorder quantity                                                                     8,000 units

What is the reorder level (in units) which avoids stockouts (running out of inventory)?

The material stores control account for a company for March looks like this：

MATERIAL STORES CONTROL ACCOUNT 

                                  $                                                                                $

Balance b/d           12,000               Work in progress                            40,000

Suppliers              49,000                Overhead control                           12,000

Work in progress  18,000                 Balance c/d                                    27,000 

                              79,000                                                                        79,000

Balance b/d            27,000

Which of the following statements are correct?

(i) Issues of direct materials during March were $18,000

(ii) Issues of direct materials during March were $40,000

(iii) Issues of indirect materials during March were $12,000

(iv) Purchases of materials during March were $49,000

A manufacturing company uses 25,000 components at an even rate during a year. Each order placed with the supplier of the components is for 2,000 components, which is the economic order quantity.The company holds a buffer inventory of 500 components. The annual cost of holding one component in inventory is $2.What is the total annual cost of holding inventory of the component?

For a particular component, the re-order quantity is 6,000 units and the average inventory holding is 3,400 units.What is the level of safety inventory (in whole units)?

The following data relate to inventory item A452:  

 Average usage         100 units per day

Minimum usage         60 units per day

Maximum usage       130 units per day   

Lead time                   20-26 days   

EOQ                          4,000 units  

What is the maximum inventory level?   

Where on the graph would you read off the value for the economic order quantity?

Calculate the figure for over/(under) absorption of production overheads for Period 3 

$ _____over/under 

 When Solo compares their profits reported under absorption costing and marginal costing during a period when the level of inventory increased:  

Absorption costing profits will be higher and closing inventory valuations lower than those under marginal costing.  

Absorption costing profits will be higher and closing inventory valuations higher than those under marginal costing.  

Marginal costing profits will be higher and closing inventory valuations lower than those under absorption costing.  

Marginal costing profits will be higher and closing inventory valuations higher than those under absorption costing.