Muscat Furniture Company SAOG uses 2 varieties of raw materials, Wood and Steel in its production process.
Question:
Muscat Furniture Company SAOG uses 2 varieties of raw materials, Wood and Steel in its production process. The details of raw materials are given below:
Normal usage ..........................40 units each per week
Minimum usage ......................25 units each per week
Maximum usage .......................80 units each per week
Reorder quantity ...........................X: 300 units
........................................................Y: 400 units
Reorder period ..........................X: 4-8 weeks
....................................................Y: 2-6 weeks
Emergency supply time ...........X: 2 weeks
.....................................................Y: 1 week
Determine the various levels of materials from the above information.
Accounting Principles
ISBN: 978-1118875056
12th edition
Authors: Jerry Weygandt, Paul Kimmel, Donald Kieso