Question Tag: Material Ordering

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MA – May 2016 – L2 – Q4a – Relevant Cost and Revenue

Calculate the amount of material ordered based on given inventory information.

Material X is a key raw material of XOXO Ltd. The storekeeper is interested in knowing the units they have placed on order because the supporting documents have been destroyed by fire. She is able to provide the following information: Immediately before the fire, materials in inventory were 1,250 units; materials requested by the factory but yet to be supplied were 375 units, and inventory balance was 3,255 units.

What is the amount of material X that XOXO has ordered from its suppliers?

(2 marks)

 

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MA – May 2016 – L2 – Q4a – Relevant Cost and Revenue

Calculate the amount of material ordered based on given inventory information.

Material X is a key raw material of XOXO Ltd. The storekeeper is interested in knowing the units they have placed on order because the supporting documents have been destroyed by fire. She is able to provide the following information: Immediately before the fire, materials in inventory were 1,250 units; materials requested by the factory but yet to be supplied were 375 units, and inventory balance was 3,255 units.

What is the amount of material X that XOXO has ordered from its suppliers?

(2 marks)

 

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