Return to the HomepageManagement Accounting: Costing Test Two
Q1 of 15

The following questions relate to the costs and revenues of Blenheim Limited, a manufacturing business.

The following information is available for raw material type BL18:

• Annual usage 1,440 kilograms
• Annual holding cost per kilogram £2.00
• Fixed ordering cost £10.00

The Economic Order Quantity (EOQ) for KL56 is kilograms.