Accountancy, asked by poojar4747, 1 year ago

danger level=normal consumptionX cost accounting

Answers

Answered by poddardewbrat
0

Answer:

gsjsmavs

Explanation:

Please mark my answer as brainlist.Thanks

Answered by anusha195sl
0

Answer:

Cost Accounting

Explanation:

  • Danger level is defined as “the level that is below which any stock will undergo no circumstances that is allowed for the fall".
  • It occurs when a stock will reach a level of danger; it will initiate a urgent action for any purchases that is made. Again, when the stock reaches a minimum level, a keeper who looks after the store will make arrangements in regards to bringing fresh materials.
  • Due, to this reason, the store keeper will have high production without having any interruption due to shortage of goods or materials.

  • Formula used for Danger level is:

Danger Level = Normal consumption x urgent supply time

Therefore, it is a stock that is situation of emergency used by the company for the purpose of placing an order to the supplier and delivers their inventory in a shorter period of time.

#SPJ2

Similar questions