If demand in units is 18000, relevant ordering cost for each year is $150 and an order quantity is 1500, then annual relevant ordering cost would be
A. $200
B. $190
C. $160
D. $180
Answer: Option D
Solution(By Examveda Team)
Annual relevant ordering cost= (18000 ÷ (1500/150 × 100)) = $180
Join The Discussion
Comments ( 1 )
Related Questions on Costing
Basic objective of cost accounting is ________
A. tax compliance.
B. financial audit.
C. cost ascertainment.
D. profit analysis.
Process costing is suitable for ________.
A. hospitals
B. oil refing firms
C. transport firms
D. brick laying firms
The cost which is to be incurred even when a business unit is closed is a _____.
A. imputed cost
B. historical cost
C. sunk cost
D. shutdown cost
The answer is 1800.
they swallowed again one '0' zero!!!!!!!!!!!