Unit 06 Refurbishment of Spare Parts
What are the stock value during processing of the refurbishment order of Actual condition C3 to Target condition C2 ?
Price control at the valuation area level is “V” with a MAP (Moving average price of 800). The total replacement costs is measured at $ 400.
Stock value before processing.
Condition | Price | Quantity | Stock value | Price control |
C1 | 1000 | 10 | $ 10000 | “S” |
C2 | 2000 | 10 | $ 20000 | “S” |
C3 | 500 | 20 | $ 10000 | “S” |
$ 40000 | Total value | |||
$ 800 | Per unit | |||
(more than one answers)
(A) C3 with 19 units at stock value of $ 9500.
(B) C3 with 19 units at stock value of $ 9200.
(C) C2 with 11 units at stock value of $ 22000.
(D) C2 with 11 units at stock value of $ 20800.
(E) C2 with 11 units at stock value of $ 20400.
.
Answer: A, C
ReplyDeleteValuation area level of MAP $800 is only statistical and not used for stock valuation.
ReplyDeleteThe actual valuation is at the Valuation type of C1, C2, C3.
In this Case:
C3: (20-1) x $500 = $9500
C2: (10+1) x $2000 = $2200