A fi rm is able to obtain quantity discounts on its orders of material as follows: The

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A fi rm is able to obtain quantity discounts on its orders of material as follows:

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The annual demand for the material is 2,000 kg. Stock holding costs are 20% of material cost per annum. The delivery cost per order is Rs. 8.
You are required to calculate the best quantity to order.

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Cost Accounting

ISBN: 9788131732076

1st Edition

Authors: V. Rajasekaran, R. Lalitha

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Question Posted: Jun 12, 2024 10:09 AM

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A fi rm is able to obtain quantity discounts on its orders of material as follows: The

Question:

Price per kg Rs. 8.00 7.90 7.80 7.60 7.50 kg less than 250 250 and less than 500 500 and less than 1,000 1,000 and less than 2,000 2,000 and above

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Cost Accounting

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