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Inventory Management | Solution of Past Question solution of Account

 Inventory management

Stock level

2076 Set B Q. No. 19

Maximum stock level = ROL + ROQ – [min. consumption * Min. lead time]

Or, 10000 = 6000 + ROQ – [400 * 10]

Or, 4000 = ROQ – 4000

Or, ROQ = 8000 units

Re-order quantity = 8000 units

2075 GIE Q. No. 19

ROL = Maximum consumption * Maximum lead time

= 3000 * 8

= 24000 units

Maximum stock level = ROL + ROQ – [min. consumption * Min. lead time]

= 24000 + 1200 – [200 * 6]

= 24000 + 1200 – 1200

= 24000 units

Maximum stock level = 24000 units

2074 Set A Q. No. 19

Minimum stock level = ROL – [Average consumption * Average lead time]

= 3600 – [(400 + 600)/2 * (4+6)/2]

= 3600 – [500 * 5]

= 3600 – 2500

= 1100 units

Minimum stock level = 1100 units

2071 Set D Q. No. 19

ROL = Maximum consumption * Maximum lead time

= 200 * 15

= 3000 units

Maximum stock level = ROL + ROQ – [min. consumption * Min. lead time]

= 3000 + 1500 – [100 * 10]

= 4500 – 1000

= 3500 units

Maximum stock level = 3500 units

2070 Set C Q. No. 19

ROL = Maximum consumption * Maximum lead time

= 3000 * 6

= 18000 units

Minimum stock level = ROL – [Average consumption * Average lead time]

= 18000 – [2500 * 5]

= 18000 – 12500

= 5500 units

Minimum stock level = 5500 units

2070 Set D Q. No. 19

ROL = Maximum consumption * Maximum lead time

= 5000 * 7

= 35000 units

Maximum stock level = ROL + ROQ – [min. consumption * Min. lead time]

= 35000 + 8000 – [3000 * 5]

= 35000 + 8000 – 15000

= 28000 units

Maximum stock level = 28000 units

2069 (Set B) Q. No. 19

ROL = Maximum consumption * Maximum lead time

= 600 * 6

= 3600 units

Maximum stock level = ROL + ROQ – [min. consumption * Min. lead time]

= 3600 + 1500 – [400 * 2]

= 3600 + 1500 – 800

= 4300 units

Maximum stock level = 4300 units

2068 Q. No. 19

ROL = Maximum consumption * Maximum lead time

= 600 * 6

= 3600 units

Maximum stock level = ROL + ROQ – [min. consumption * Min. lead time]

= 3600 + 1500 – [400 * 2]

= 3600 + 1500 – 800

= 4300 units

Maximum stock level = 4300 units

2067 Q. No. 19

Maximum stock level = ROL + ROQ – [min. consumption * Min. lead time]

= 21600 + 14400 – [1200 * 4]

= 21600 + 14400 – 4800

= 31200 units

Maximum stock level = 31200 units

2066 Supp. Q. No. 19

ROL = Maximum consumption * Maximum lead time

Or, 4800 = Maximum consumption * 6

Or, Maximum consumption = 800

Maximum stock level = ROL + ROQ – [min. consumption * Min. lead time]

Or, 8000 = 4800 + 4000 – [Min. consumption * 4]

Or, Min. consumption * 4 = 800

Or, Min. consumption = 200

Minimum stock level = ROL – [Average consumption * Average lead time]

= 4800 – [500 * 5]

= 4800 – 2500

= 2300 units

Minimum stock level = 2300 units

2065 Q. No. 9 (OLD)

Maximum stock level = ROL + ROQ – [min. consumption * Min. lead time]

Or, 6200 = ROL + 3000 – [200 * 8]

Or, 6200 = ROL + 3000 – 1600

Or, ROL = 4800 units

Reorder level = 4800 units

2064 Q. No. 19

ROL = Maximum consumption * Maximum lead time

= 300 *8

= 2400 units

Minimum stock level = ROL – [Average consumption * Average lead time]

= 2400 – [200 * 6]

= 2400 – 1200

= 1200 units

Reorder level (ROL) = 2400 units

Minimum stock level = 1200 units

2064 Q. No. 12 (OLD)

Maximum stock level = ROL + ROQ – [min. consumption * Min. lead time]

Or, 2100 = 1460 + ROQ – [40 * 4]

Or, 640 = ROQ – 160

Or, ROQ = 800 units

Reorder quantity = 8000 units

2063 Q. No. 10

Reorder level = Maximum consumption * Maximum lead time

= 500 * 4

= 2000 units

Minimum stock level = ROL – [Average consumption * Average lead time]

= 2000 – [450 * 3.5]

= 2000 – 1575

= 425 units

Minimum stock level = 425 units

2062 Q. No. 10

ROL = Maximum consumption * Maximum lead time

= 6 * 400

= 2400 units

Minimum stock level = ROL – [Average consumption * Average lead time]

= 2400 – [300 * 4.5]

= 2400 – 1350

= 1050 units

Reorder level = 2400 units

Minimum stock level = 1050 units

2061 Q. No. 10

ROL = Maximum consumption * Maximum lead time

= 75 * 6

= 450 units

Maximum stock level = ROL + ROQ – [min. consumption * Min. lead time]

= 450 + 300 – [25 * 4]

= 750 – 100

= 650 units

Maximum stock level = 650 units

2060 Q. No. 9

Maximum stock level = ROL + ROQ – [min. consumption * Min. lead time]

Or, 1800 = 1400 + ROQ – [60 * 5]

Or, 400 = ROQ – 300

Or, ROQ = 700 units

Reorder quantity = 700 units

2060 Supp. Q. No. 14

Average consumption = (Min. consumption + Max. consumption) / 2

Or, 30 = (Min. consumption + 30)/2

Or, 60 = Min. consumption + 30

Or, Minimum consumption = 30 units

Maximum stock level = ROL + ROQ – [min. consumption * Min. lead time]

= 400 + 600 – [30 * 9]

= 1000 – 270

= 730 units

Maximum stock level = 730 units

Economic order quantity

 2076 Set B Q. No. 19


Ordering cost per unit (O) = Rs. 300
Annual requirement (A) = 30000 units
Carrying cost per unit (C) = 10 % of 20 
                                                = 2
Economic order quantity =
 `\sqrt{\frac{2AO}C}`
 = `\sqrt{\frac{2*30000*300}2}`
 = `\sqrt{\frac{1800000}2}`
 = `\sqrt{90000}`
= 3000 units 

Number of orders per year = `\frac A{EOQ}`
= `\frac 30000{3000}`
= 10 orders

2075 Set A Q. No. 19


Ordering cost per unit (O) = Rs. 60
Annual requirement (A) = 36000 units
Carrying cost per unit (C) = 10 % of 100 
                                                = 10
Economic order quantity =
 `\sqrt{\frac{2AO}C}`
 = `\sqrt{\frac{2*36000*60}10}`
 = `\sqrt{\frac{4320000}10}`
 = `\sqrt{432000}`
= 657.27 units 

2075 Set B Q. No. 19


Ordering cost per unit (O) = Rs. 250
Annual requirement (A) = 50000 units
Carrying cost per unit (C) = 10 % of 20 
                                                = 62.5
Economic order quantity =
 `\sqrt{\frac{2AO}C}`
 = `\sqrt{\frac{2*50000*250}62.5}`
 = `\sqrt{\frac{1800000}2}`
 = `\sqrt{{90000}`
= 3000 units 

2073 Supp. Q. No. 19


Ordering cost per unit (O) = Rs. 5
Annual requirement (A) = 90000 kg
Carrying cost per unit (C) = 10 % of 50
                                                = 5
Economic order quantity =
 `\sqrt{\frac{2AO}C}`
 = `\sqrt{\frac{2*90000*5}5}`
 = `\sqrt{\frac{900000}5}`
 = `\sqrt{{180000}`
= 424.25 Kg

2073 Set C Q. No. 19


Ordering cost per unit (O) = Rs. 300
Annual requirement (A) = 60000 units
Carrying cost per unit (C) = 20 % of 20 
                                                = 4
Economic order quantity =
 `\sqrt{\frac{2AO}C}`
 = `\sqrt{\frac{2*60000*300}4}`
 = `\sqrt{\frac{36000000}4}`
 = `\sqrt{{900000}`
= 3000 units 

2073 Set D Q. No. 19


Ordering cost per unit (O) = Rs. 160
Annual requirement (A) = 5000 units
Carrying cost per unit (C) = 10 % of 2
                                                = 0.2
Economic order quantity =
 `\sqrt{\frac{2AO}C}`
 = `\sqrt{\frac{2*5000*160}0.2}`
 = `\sqrt{\frac{1600000}0.2}`
 = `\sqrt{{8000000}`
= 2828.43 units 

2072 Supp. Q. No. 19


Ordering cost per unit (O) = Rs. 50
Annual requirement (A) = 60000 units
Carrying cost per unit (C) = 10 % of 60 
                                                = 6
Economic order quantity =
 `\sqrt{\frac{2AO}C}`
 = `\sqrt{\frac{2*60000*50}6}`
 = `\sqrt{\frac{6000000}6}`
 = `\sqrt{{1000000}`
= 1000 units 

2072 Set C Q. No. 19


Ordering cost per unit (O) = Rs. 80
Annual requirement (A) = 10000 units
Carrying cost per unit (C) = 0.40 
                                                
Economic order quantity =
 `\sqrt{\frac{2AO}C}`
 = `\sqrt{\frac{2*10000*80}0.40}`
 = `\sqrt{\frac{1600000}0.40}`
 = `\sqrt{{4000000}`
= 2000 units 

2072 Set D Q. No. 19


Ordering cost per unit (O) = Rs. 500
Annual requirement (A) = 50000 units
Carrying cost per unit (C) = 10 % of 20 
                                                = 2
Economic order quantity =
 `\sqrt{\frac{2AO}C}`
 = `\sqrt{\frac{2*50000*500}2}`
 = `\sqrt{\frac{50000000}2}`
 = `\sqrt{{25000000}`
= 5000 units 

2072 Set E Q. No. 19


Ordering cost per unit (O) = Rs. 20
Annual requirement (A) = 10000 units
Carrying cost per unit (C) = 0.40 
                           
Economic order quantity =
 `\sqrt{\frac{2AO}C}`
 = `\sqrt{\frac{2*10000*20}0.40}`
 = `\sqrt{\frac{400000}0.40}`
 = `\sqrt{{1000000}`
= 1000 units 

No. of purchase orders = `\frac A{EOQ}`
= `\frac 10000{1000}`
= 10 times

2071 Supp. Q. No. 19


Ordering cost per unit (O) = Rs. 200
Annual requirement (A) = 20000 units
Carrying cost per unit (C) = 20 % of 10 
                                                = 2
Economic order quantity =
 `\sqrt{\frac{2AO}C}`
 = `\sqrt{\frac{2*20000*200}2}`
 = `\sqrt{\frac{8000000}2}`
 = `\sqrt{{4000000}`
= 2000 units

2071 Set C Q. No. 19


Ordering cost per unit (O) = Rs. 10
Annual requirement (A) = 900 units
Carrying cost per unit (C) = 10 % of 2
                                                = 0.2
Economic order quantity =
 `\sqrt{\frac{2AO}C}`
 = `\sqrt{\frac{2*900*10}0.2}`
 = `\sqrt{\frac{18000}0.2}`
 = `\sqrt{{90000}`
= 300 units 

2070 Supp. Q. No. 19


Ordering cost per unit (O) = Rs. 12
Annual requirement (A) = 600 units
Carrying cost per unit (C) = 20 % of 20 
                                                = 4
Economic order quantity =
 `\sqrt{\frac{2AO}C}`
 = `\sqrt{\frac{2*600*12}4}`
 = `\sqrt{\frac{14400}4}`
 = `\sqrt{{3600}`
= 60 units 

2069 Supp. Set A Q. No. 19


Ordering cost per unit (O) = Rs. 50
Annual requirement (A) = 20000 units
Carrying cost per unit (C) = 10 % of 20 
                                                = 2
Economic order quantity =
 `\sqrt{\frac{2AO}C}`
 = `\sqrt{\frac{2*20000*50}2}`
 = `\sqrt{\frac{2000000}2}`
 = `\sqrt{{1000000}`
= 1000 units 

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