Costing Material chapter Questing

1178 views 2 replies

ROQ = 100 Units, Max Usage = 50 Units, Max Level = 100 Units, Min LT = 2 Weeks

Find Min Level, ROL & Avg Level.

Plz tell me how to solve this Question.

Thanks in Advance

R SHRIRAM

Replies (2)

in ur ques figures are not supporting to the concept of this chapter... either u have manipulated with data or misrepresented data....

as max lvl can not be equal to ROQ.. it should be more than ROQ

coz MAX LVL = ROQ + ROL - (MIN USG* MIN LT)

so as per ur data ROL = MIN USG * MIN LT

which seems not to be good....

plz check it out once again. even if u find no change then leave the ques. n concentrate on another one.
 

Sorry sir I am not manipulated with data I took this Question from a book, but I have the solution in the same book which I cant able to understand so to know the easy way to solve the probs I posted in this Form. Here is the solution given in the book.

Sol: Avg Lvl = (Min Lvl + Max Lvl)/2 

        Avg Lvl = Min Lvl + (ROQ/2)

Therefore (Min Lvl + Max Lvl)/2 = Min Lvl + (ROQ/2)

When Multiplying by 2

     Min Lvl + Max Lvl = 2(Min Lvl) + ROQ

     Max Lvl = 2(Min Lvl) - Min Lvl + ROQ

     Max Lvl = Min Lvl + ROQ

Or Min Lvl = Max Lvl - ROQ

So Min Lvl =100-100 = 0

As Min Lvl = 0 = ROL - (Avg Usage * Avg LT)

So ROL = Avg Usage * Avg LT

As Max Lvl = ROQ = 100, ROL = (Min Usage * Min LT)

So Avg Usage * Avg LT = Min Usgae * Min LT

Therefore Avg Usage * Avg LT = Min Usage * Min Usage = Max Usage * Max LT

So Min Usage = Max Usage = Avg Usage & Min LT = Max LT = Avg LT

ROL = Avg Usage * Avg LT = 50(Max Usage in Ques) * 2 (Min LT in Ques) = 100

Min Lvl = ROL - Avg LT

So Min Lvl = 0

Avg Lvl = (0+100)/2 = 50

ROL = 100, Min Lvl = 0 Avg Lvl =50

Thanks

R Shriram

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
Featured 15 June 2026
Senior Auditor

N. Dhawan & Co

New Delhi

CA Inter

View Details
Company
09 June 2026
Accounts Associate

S Madan and CO

New Delhi

Graduate (Any)

View Details
Company
ARTICLESHIP 18 June 2026
Article Assistance

RB KESHRI & CO.

Mumbai

CA Inter

View Details
Company
19 June 2026
Accounts Executive

Getfive Advisors Pvt. Ltd.

Ahmedabad

CA Inter

View Details
Company
24 June 2026
Senior Account (VA Client Operations)

Karbon Business

Bengaluru

CA Inter

View Details
Company
ARTICLESHIP 30 June 2026
Article Assistant or Paid Assistant

VIKAS VERMA & CO

New Delhi

Others

View Details
Company
29 June 2026
Accountant (Finance & Compliance)

TRIEYEZ

Kolkata

CA

View Details
Company
ARTICLESHIP 24 June 2026
ARTICLE ASSISTANT

BHUPINDER SHAH AND COMPANY

New Delhi

CA Inter

View Details