Inventory Management – Financial and Strategic Management MCQ

: The following information is given for receipts and issues of material in the month of March 2019.What are the value of closing stock under the FIFO and LIFO methods?

Smoke, dust, gases, and loss of weight due to seasoning are examples of

Which of the following is the objective of inventory management?

During the time of inflation, which method of pricing of material issues leads to higher material costs for a job?

___ method of pricing of material issues is not popular as it always undervalues the stock and leads to the creation of the secret reserve.

If annual total carrying cost, per unit carrying cost, and cost per order is 7 15,000, 7 10 & 7 150 respectively, then Economic Order Quantity will be:

: In the technique of inventory control, quantities in the hand of each item or class of stock are reviewed periodically say 30, 45, or 60 days.

If EOQ is 200 units, ordering cost is ₹ 20per order and total purchases are 4,000 units. The carrying cost per unit will be:

___is a value-based system of inventory control, in which materials are analyzed according to their value so that costly and more valuable materials are given greater attention.

Which of the following is not a cost price method of pricing material issues?

The most suitable inventory control technique for spare parts is:

A Ltd. submits the following data:Normal uses (unit per week): 50Minimum usage (unit per week): 25Maximum usage (unit per week): 75Re-order period (weeks): 4-6
Calculate re-order level.

: The rate per kg of material P, Q, R & S are respectively ₹ 12,₹ 15,₹ 18 & ₹ 21. The input-output ratios of the material are 140%, 130%, 120% & 110% respectively. The most economical material for production is:

This type of loss is connected with both input and output:

Which of the following does not normally appear on a material requisition form?

When prices fluctuate widely, which of the following method will even out the effect of fluctuations?

A, B, C analysis is

: Which of the following is considered as normal loss of material

Amaze Ltd. had an opening inventory of 5,000 units costing ₹ 5 per unit on 1st April 2016. Following receipts and issues took place in April 2016:5th April 2016: Purchased 800 units @ ₹ 8 per unit12th April 2016: Purchased 200 units @ ₹ 8 per unit15th April 2016: Issued 3,000 units25th April 2016: Purchased 1,000 units @ ₹ 9 per unitCost of inventory as of 30th April 2016 under weighted average basis will be:

A written comprehensive order, with specification, material code, and quantity sent to inform the purchasing department, of a need for material is called

_ account does not record the balance of stores ledger control account.

Re-order Quantity: 300 kgMinimum usage: 20 kg per dayMinimum lead time: 5 daysMaximum stock level: 400 kgRe-order level will be

Normal usage 50 units per week, maximum usage 75 units per week, reorder period 4 to 6 weeks. The minimum level of stock will be

In a situation of rising prices, profit and tax liability would be lower under method than under method of material issue pricing.

EOQ is 200 units, ordering cost Rs. 20 per order, and total purchases 4,000 units. The carrying cost per unit will be

About 50 units are required every day for a machine. A fixed cost of ₹ 50 is incurred for placing an order. The inventory carrying cost per unit amounts to ₹ 0.02 per day. The lead period is 32 days. Economic Order Quantity is

In a company, the weekly minimum and maximum consumption of Material-A is 25 and 75 units respectively. The re-order quantity as fixed by the company is 300 units. The material is received within 4 to 6 weeks from the issue of supply order. The maximum level of Material-A is

Following information is available regarding a product-X:1st January 2015:Opening balance: 50 units @ Rs. 4
Receipts:5th January 2015: 100 units @ Rs. 512th January, 2015: 200 units @ Rs. 5.50
Issues:2nd January 2015: 30 units18th January 2015: 170 unitsThe value of closing stock according to the FIFO method is

For a product-X, the following information is available:Maximum consumption per week: 300 unitsNormal consumption per week: 200 unitsRe-order period: 2 to 4 weeksThe re-order level will be

Bill of material acts as an authorization to the store’s department in procuring the material and all the materials listed on the bill is sent to the.

: Under which of the following inventory control techniques, two piles or bundles are maintained for each item of stock

Dec 2014: Under which of the following inventory control technique, the maximum and minimum level of each stock is laid down

The method of regular physical verification of material throughout the year is known as

Which of the following is recorded by bin card

Which type of material is classified as ‘A’ type in ABC analysis