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In this method the minimum and maximum level for all items of inventory are fixed. These levels function as an origin for initiating action so that the quantity of all items is controlled. These types of levels are not permanent and probable to change along with the level of activity. The maximum level specifies the maximum quantity of an item of inventory that can be held at a point of time. The maximum level of inventory would base upon the subsequent factor:
Minimum level signifies the quantitative balance of an item of inventory, that must be kept in hand at all times. This is a level below that the inventories must not fall. This level of inventory is held to ignore stock out and consequent stoppage of production. The minimum level would basically depend upon:
The following market data are available for interest rates and volatilities associated with standard maturities: Suppose you are holding a bond portfolio which invests in a
Uncertainty concerning the business It has been recognised in a variety of studies that the problem of adequately financing SMEs is a problem of uncertainty. A defining feature
How to prepare a bond amortization sheet
1) Inventory of raw material are held to make sure that the production process is not disrupted because of shortage of raw material. The amount of raw material inventory would base
what are methods of calculating depreciation?
On January 1, a company issued and sold a $400,000, 7%, 10-year bong payable, and recieved proceeds of $396,000. Interest is payable each June 30 and December 31. The company uses
Equitable apportionments There are five leading cases where the courts have laid down rules to meet specific situations in which there is a conflict of interest between life tena
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Given the following cash flows for projects A and B: Year Project A Project B 0 -100,000 -150,000 (Project Cost) 1 25,000
The return on investment has been aptly about as a primary ratio as it gives the relative net profit earned on the capital utilized. It is one particular measure where the last out
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