Average inventory

answered on 24-Jul-24 00:42

average inventory is not discussed in the CMA costing book. neither is the use of this to calculate carrying cost. Please inform whether it is required to be learnt this way. In the book, illustration 1, carrying cost is material cost per kg*8% = 0.16. Please explain

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Please be more specific with your query. Kindly share relevant question / solution screenshot highlighting your doubt

maria chacko

CMA Inter

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2

34

purchase cost

answered on 24-Jul-24 00:47

why is purchase cost constant in this example? why is it always 20,0000? doesn't it change based on order size?

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The question doesn't mention about any volume or turnover discount

maria chacko

CMA Inter

★ 0

1

24

Average inventory

answered on 24-Jul-24 00:46

hi. wanted to understand how the average inventory is calculated. Here is it divided by 2. Isn't it supposed to be the period during a year. For example, 10000/12 months. so the average inventory is 833 units per month?

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On the day we receive material - qty held will be order qty. Eventually the inventory will become 0. And we will place a new order. ( Basically at re order level) So avg =( qty received+ 0 )/2

maria chacko

CMA Inter

★ 0

1

24

Explanation needed

answered on 24-Jul-24 00:47

Service costing's -Aeroplane's type question explanation needed?

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Kindly share the question

07- Issac Jolly-XII C

CA Inter

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2

65

Material costing

answered on 24-Jul-24 05:41

Can anybody say how to solve this if its assumed that itc is available for gst and whether this stores oh will be included in material cost?

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Thank you mam

Ramya Navanitham

CA Inter

★ 75

3

53

Doubt

answered on 17-Jul-24 12:55

Will the costing class of one fin help me to pass(CA Inter)?

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Please post any subject queries that you have here, and faculty / team shall resolve them

07- Issac Jolly-XII C

CA Inter

★ 8K+

3

61

Illustration 4

answered on 14-Jul-24 19:07

In illustration 4 I understood all but the last equation, the 👉🏻how came 0.975

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1-0.025

Rasika Manjari

CA Inter

★ 0

1

47

Illustration 4

answered on 14-Jul-24 11:44

In illustration 4 I understood all but the last equation, the 👉🏻how came 0.975

latest answer

1-0.025

Rasika Manjari

CA Inter

★ 0

1

58

Overhead chapter

answered on 01-Jul-24 17:24

What does this question mean? Illustration 2 Part d Can someone explain that part please

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At what production level in % terms or in unit terms will OH recovery rate of 15 exactly recover the full overhead without any loss or gain

Ramya Navanitham

CA Inter

★ 75

1

73

Cost sheet

answered on 24-Jun-24 08:47

Is set up cost is direct expense or factory OH??

latest answer

Plant and machinery setup costs are direct expenses related to production. Inventory setup costs are indirect expenses related to managing inventory levels, so it will be factory OH

SRIHARI K U [XI-D]

CA Inter

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3

75