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CHOOSING ORDER QUANTITY (SIZE—PROBLEM)
The objective of inventory decisions is usually to minimize total inventory costs to the company. Costs are ascribed to all elements which are of interest in reaching its inventory decisions (e.g. purchasing costs, stock out costs etc.), and solutions, are derived based on these costs.
Several inventory planning models exist. These models can be classified into two basic classified into two basic classifications:
(1) Deterministic Models:—whereby all parameters are known with certainty, e.g. lead-time, annual demand, and so on.(2) Stochastic Models:—in which parameters (particularly demand and lead time) are not known with certainty, but follow known probability distributions (i.e. risks).
define budget control system
Determine the The tools and techniques used in management accounting 1. Financial policy and accounting : every concern has to take a decision about the sources of raising fun
Learning and Spillovers The cost of a value activity can decline over time due to learning that increases its efficiency. The methods by which learning can lower cost over tim
Costing Cost accounting can be described as the collection, interpretation of cost and assignment. In succeeding chapters, you will learn about alternative costing techniq
What is Master budget Financial budget are concerned with cash receipts and disbursements working capital. Several functional budgets are integrated into master budget. This bu
What nonfinancial factors should management consider in making its decision on whether to accept or reject a special order?
Gafat Engineering Ethio plc manufactures two types of TV sets LCD and CRT both having only one model. The LCD and CRT television sets sell for $9000 and $5000, respectively. the co
Consider the following quality data for three different manufacturers of automobile weather-strips: Weather-strip Bulb Dimension Specification y=20 +or- 4mm
Difference between managerial accounting and financial accounting are mentioned below Audience – Internal Vs External Format of Reporting – Free format Vs prescribed
Application of Information technology in respect of management information system
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